NEW YORK (HedgeWorld.com)–Baker Street Capital Management Inc., the hedge fund management company that initiated Baker Street Capital Partners LP three years ago, will launch an offshore parallel fund Jan.1.

The timing has come about because “our returns have attracted enough of a critical mass of interest from the offshore world that we thought this was the natural next step,” said Sean Arp, the chief operating officer.

The Baker Street strategy is long/short equity, with a goal of 30% to70% long and 10% to 50% short, for a gross exposure of 60% to 120% and a typical net exposure of 1% to 40%. Baker Street also describes itself as an opportunistic stock-picking fund with a bottom-up approach.

It is the bottom-up approach that inspired the fund’s Arthur Conan-Doyle sounding name. The company logo features a magnifying glass enlarging the letter “B” at the start of its name, and company literature explains, “In searching for short opportunities, we focus on identifying clues that things are worse than they appear to be on the surface.” They listen for the dogs that don’t bark in the night, one might say.

Baker Street’s general partner is Gregory A. Panayis, formerly an analyst and partner at Strome, Susskind & Co., Los Angeles. He has an MBA from Harvard.