Credit Suisse is courting investors to raise as much as $2bn for a fund that will buy stakes in hedge-fund firms, according to two people with knowledge of the matter.
Bloomberg News reports that the bank’s Anteil Capital Partners unit will aim to buy minority stakes in 10 to 12 money managers, the people said, asking not to be identified because the information is private.
Anteil Capital, whose name means “share” in German, is run by John Powers, the former leader of the team managing Stanford University’s endowment, and former Blackstone executive Anthony Maniscalco. The division, part of Credit Suisse’s asset-management arm, recently hired Anurag Bhardwaj, the former global head of strategic consulting for Barclays' prime brokerage, as head of strategic business services.
Regulations since the global financial crisis have imposed stricter capital rules on banks, deterring them from using their own money to trade and forcing them to shut or separate proprietary trading desks. While Credit Suisse is focusing on raising external money at Anteil, owning a piece of a hedge fund lets banks profit from the fees that money managers generate -- typically 2% for management and 20% of performance.
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