NCHICAGO (HedgeWorld.com)–Making a business of matching up hedge fund managers and seed capital is never easy, but almost a year after its own launch, Hedge Fund Launch LLC is close to making its first deals.
The firm announced that its has registered more than 570 prospective startup hedge fund managers and 106 interested seed investors on its online network. The web site, www.hedgefundlaunch.com, has a proprietary matching engine offering seed capital through a network established by the firm’s founders.
Tom Augenthaler and Steve Dyanko created the web site after forming Hedge Fund Center, another industry web site. A third founding member is Jeff Kuchta, who is the chairman and founder of Hedge Advisors Inc., a boutique investment consulting firm.
The web has increased the new company’s exposure and has broadened the universe of managers included on the platform, Mr. Kuchta said. It also has helped attract seed investors, which include: high-net-worth individuals; small- to medium-sized hedge funds of funds; and larger funds of funds.
“We believed from the beginning that our business model was logical and would garner attention, yet the overwhelming amount of interest that we received since the launch of our business has surpassed our wildest expectations,” said Mr. Kuchta.
The firm currently has contracts pending with four different managers and expects to close its first deal on Feb. 1. In the future officials say they will be happy to close three to four deals per year.