Reuters- London & Capital Group, a $3 billion fund that invests in hedge funds, said on Monday its U.S. arm could raise more than $1 billion by 2009 in six new investment vehicles aimed at European markets.
The London-based hedge “fund of funds” said its Miami-based U.S. unit, London & Capital Investment Advisors Inc., designed the new vehicles to give U.S. investors access to certain European strategies that its parent company developed over 16 years.
The strategies include three multi-asset class portfolios, one fixed income portfolio and two European commercial real estate strategies, the firm said. Each is expected to raise between $100 million and $200 million over the next 18 months, the firm said.
The “Loncap Range of European Alternative Investment Strategies” will be overseen by Tony McLoughlin, head of U.S. operations.
Initially, the new funds will invest in established funds managed by the London-based parent company, such as the Loncap European Commercial Real Estate Strategy, which has produced annualized returns of 15 percent over three and a half years, it said.
