October 10, 2002

Banc of America Opens Registered Fund

NEW YORK (HedgeWorld.com)--Banc of America Capital Management launched BACAP Opportunity Strategy LLC, the firm's first registered hedge fund.

Although originally slated for a July 1 launch, the long/short technology closed-end hedge fund commenced operations on Oct. 1.

The fund's investment manager is BACAP Advisory Partners LLC, but it will actually be sub-advised by Alkeon Capital Management LLC. Alkeon founder Takis Sparaggis is the portfolio manager and he also handles the assets of the CIBC World Markets' Advantage Advisers Multi-Sector Fund I, another registered hedge fund launched earlier this year. (Previous HedgeWorld Story) Before forming the firm, Mr. Sparaggis managed portfolios of US$600 million in a trading strategy similar to that of BACAP Opportunity at CIBC.

"A hedged long/short product offers investors the opportunity to ride the waves of technological innovation, but also as important is the potential to profit from rapidly transforming cycles of technological obsolescence," Mr. Sparaggis said in a statement.

The fund's strategy is to invest primarily in long and short positions in companies that are related to, or benefit from technology. Companies active in aerospace, electronics, information sciences, life sciences, networking, semi-conductors and telecommunications are included in the offering.

The initial minimum investment in the fund is US$100,000 and the fund is only open to investors with at least US$1.5 million in net worth. Subsequent investment minimums are set at US$25,000.

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