LA JOLLA, Calif. (HedgeWorld.com)–After eight years of serving as a unit of the Man Financial Group*, Jon Sundt’s alternative investment team has spun-off their business to create Altegris Investments.
The newly independent firm will continue to serve institutional and high-net-worth investors looking to tap hedge funds and managed futures. And Altegris will continue to serve as an introducing broker for Man Financial, just as it has since Mr. Sundt first set up shop in sunny La Jolla, Calif., in 1994.
“It was a very amicable separation, and we will continue to have a strong relationship with Man. In fact, we’re one of Man Financial’s largest customers,” Mr. Sundt said.
Altegris is starting from a strong base. Its existing clients oversee assets in excess of US$600 million targeted at hedge funds and managed futures.
“For our investor clients, the transition will be seamless. But as an independent firm, we will be able to do things differently, and offer a range of other hedge funds. The truth is, however, that we were always able to offer any (non-Man Group) hedge funds before. But for me, this fulfills a life-long dream I’ve had to have my own business.”
The spin-off did not involve any cash transaction. Mr. Sundt and his management team are the owners of the firm. The unit’s revenues will continue to be driven by fees paid by managers who get allocations. Investors typically don’t pay fees.