What's in a name? Petra Capital Management

Formed in 2005, New York-based Petra Capital Management soon forged itself a reputation as one of the hedge fund industry’s best-known investors in the commercial mortgage-backed securities (CMBS) market.

Founder Andy Stone, an expert in real-estate debt from his time at Solomon Brothers and Credit Suisse First Boston, would even go on to be described as a ‘rock star’ in the field. His choice of moniker for his hedge fund project certainly lends itself to Stone’s background – and more than just in name and reputation.

Petra is, of course, a historically and archaeologically significant city in Jordan, renowned for its architecture cut into the rock face of its central valley. The rock-carved collection of tombs, temples and waterways is one of Jordan’s most famous symbols and tourist attractions, not to mention a regular in popular culture – featuring in films such as Indiana Jones and the Last Crusade. Unesco, which made the city a World Heritage Site in 1985, described it as “one of the most precious cultural properties of man’s cultural heritage”. Most pertinently though, Petra actually means ‘stone’ in Arabic.

Not quite the force he once was, Stone suffered a…

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60 seconds with... Scott Somerville

Scott Somerville, CEO, Maples Fiduciary Services 

CAN YOU DESCRIBE YOUR ROLE?
As the CEO of Maples FS, I have technical and management oversight responsibility for the Maples FS group of companies. As our fiduciary and fund services divisions continue to expand, one of my primary roles is to work with my executive management team to ensure that we continue to adapt our service offering to meet the specific, unique requirements of each of our clients.  

IF YOU WERE DOWN TO YOUR LAST $1,000, HOW WOULD YOU INVEST IT?
My preference would be to invest in Hawaiian real estate (where I plan on spending my retirement) but I wouldn’t get far with $1,000.

WHAT WOULD YOU DO IF YOU WERE IN PRESIDENT OBAMA’S SHOES?
I would stop trying to spend one’s way out of a budget deficit. As a CEO, you become acutely aware that this strategy doesn’t work in the long run.

WHO WOULD PLAY YOU IF THEY MADE A MOVIE ABOUT YOUR FIRM?
Given that I like to keep things simple (comes from being Canadian and having lived in the Cayman Islands for the last 16 years), it would be…

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What's in a name? Glasnost Hedge Fund

Phillippe Gougenheim, formerly of Man Group and Unigestion, is busy plotting his next hedge fund move, Reuters reported this week. The industry veteran plans to launch a $50m fund in June that can shield investors from movements caused by the influence of politicians on markets, with a particular focus on the eurozone. “My idea is to be everything that hedge funds are not: liquid, transparent, and with a focus on capital protection,” Gougenheim told the newswire.

Hence, in theory, the name. Glasnost, a Russian word, translates roughly as openness and was used to describe Mikhail Gorbachev’s policy of transparency and freedom of information towards the end of the Soviet Union. The strategy was designed to reduce corruption, which was rife at the time in the Soviet government and Communist party.

Gougenheim’s version of transparency will aim, instead, to generate interest among investors while making solid returns too. The fund will offer weekly liquidity with three days’ notice, and will disclose all positions to investors on a monthly basis. It is due to be launched in June and domiciled in Cayman. Parent company Gougenheim Investments is reportedly hiring a COO, portfolio manager and marketing staff. 

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60 seconds with... Neal Berger

CAN YOU DESCRIBE YOUR ROLE?
I am the founder/president of Eagle’s View Capital Management, an investment manager to three fund of funds products as well as a hedge fund advisory firm.

IF YOU WERE DOWN TO YOUR LAST $1,000, HOW WOULD YOU INVEST IT?
I’d combine it with sweat equity and start a business. Maybe I’d buy cheap cars and part them out. Possibly buy up contents of unpaid storage lockers and sell them on eBay. I’m a trader at heart and maybe I’d be lucky enough to make a few bucks and possibly land a reality show.

WHAT WOULD YOU DO IF YOU WERE IN PRESIDENT OBAMA’S SHOES?
I’d go on TV once a week and give the people an update of what I’m doing to improve the country and the world. Just like running a fund, communication with the people you report to is essential to foster mutual understanding. I don’t think the public hears from the President enough.

WHO WOULD PLAY YOU IF THEY MADE A MOVIE ABOUT YOUR FIRM?
Definitely George Costanza (aka Jason Alexander) from Seinfeld. I love that guy. 

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