BRI Partners Seeds Orchard
Orchard Capital, a New York-based European long/short equity fund, is one of the first two hedge funds to be seeded by BRI Partners, a newly launched incubator.
BRI Partners has formed a joint venture with Mesirow Advanced Strategies, a $2bn (E2.2bn) fund of hedge funds, to offer incubator services to hedge fund start-ups. Bear Stearns is one of the investors in BRI, which has raised $345m. Richard Lindsey, president of Bear Stearns Securities Corporation, says: "[This alliance] enables us to develop relationships with potential clients at an early stage."
In addition to Orchard, run by Harry Ehrlich and James Sheldon, BRI intends to add to its portfolio by investing in hedge funds across a variety of strategies. BRI will not only provide seed capital, but will also assist managers in all aspects of their business, including asset raising, administration, relations with service providers and legal and compliance.
Incubators are the latest route to market that a start-up hedge fund can take. …