Hedge Fund Manager Fortress Launches a Global Equity GroupFollowing to two people with knowledge of the matter, a global equity group that can bet on rising and falling stocks is being created by Fortress Investment Group LLC, the first publicly traded hedge fund and private equity manager in the United States.
Fortress Global Equity Advisors LLC will be led by Steve Geskos and Tye Schlegelmilch, said the people, who asked not to be identified because the information isn’t public. Fortress, which oversees $66 billion and specializes in hedge funds that trade credit or across asset classes based on macroeconomic themes, will start with a long-short fund, its first dedicated pool for the strategy.
The equity team will be housed within Fortress’s liquid hedge fund unit, led by Michael Novogratz. This division comprises the smallest of Fortress’s four business lines by assets, with $7.5 billion. The unit’s contributions to New York-based Fortress’s profits have declined this year amid lackluster returns, accounting for $12.2 million of $322.6 million in pretax distributable earnings during the first nine months. They supplied about a third of these earnings in 2013.Source: Bloomberg