BOSTON (HedgeWorld.com)–Venus Capital Management started a new multi-strategy global arbitrage fund that focuses on equities and derivatives from Indian issuers. It also has an index arbitrage component.
Venus Arbitrage Fund LP uses several strategies with the goal of achieving market neutrality with no directional exposure. The objective is to get 12% to15% annual net returns with low volatility.
The investment team simultaneously buys and sells the same stock or derivative, exploiting differences in spot versus futures prices, American or global depository receipts versus local markets, and between various exchanges. The program includes arbitraging of equity and index options and derivatives in the United States and India.
Manager Vik Mehrotra has investment management experience in both countries, including a stint as adviser at PaineWebber. Natasha Koprivica, formerly from Fidelity, is assistant fund manager and Craig Aumann, previously a floor trader at the Chicago Mercantile Exchange for Rosenthal Collins Group, is head trader.
The vehicle was launched about four months ago and has been trading with US$2.5 million in seed money from a few funds of funds and family offices.