By Nishant Kumar (14-Oct-2020)
(Bloomberg) — RV Capital Management, a Singapore-based macro hedge fund, has won an investment from Izzy Englander’s Millennium Management.
The injection is expected to boost assets at RV Capital to about $1 billion, according to a person with knowledge of the matter. The firm will also stop taking new money, the person said, asking not to be identified because the information is private.
Founded by Ranodeb Roy, Morgan Stanley’s former Asia-Pacific head of fixed income, RV Capital will run the new money in a separately managed account that will mimic trades in its flagship hedge fund, the person said. That fund bets on interest rates, foreign exchange and credit markets in Asia.
It’s not clear how much Millennium will invest in RV Capital. The firm has grown its assets from around $700 million at the start of this year, with its flagship fund up 6.5% through August.
RV Capital’s co-founder Vickram Mangalgiri and a spokesman for New York-based Millennium declined to comment.
Roy becomes one of a small number of external portfolio managers to strike a deal to run money for Millennium, which has dozens of inhouse trading teams to invest its $45.4 billion in assets. Hedge funds often run money for their biggest investors in a separately managed account to offer them transparency and more control over their assets.
In 2014, money manager Feng Guo spun out of Millennium with a group of colleagues to set up Symmetry Investments with money from the firm. Four years later, former Hutchin Hill Capital trader Brian Mark returned to the hedge fund to run his own firm within Millennium called Junova Capital Management.
Roy founded RV Capital with Mangalgiri, a former adviser at Pacific Investment Management Co., in 2011.
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