The seemingly one way door between mutual funds and hedge funds does swing the other way. Proof that some hedgies are willing to become fundsters was provided this week when Josh Kernan jumped ship from Schwab with plans to found a new mutual fund advisory firm.
Kernan unveiled his plans in a memo to his friends and potential clients that was grabbed by InvestmentNews
His new firm is Simple Alternatives LLC
. His plans include the rollout of a multi-manager absolute return mutual fund. The fund will be subadvised and tap into the investment skills of "leading hedge fund managers," according to the memo. The initial fund in the family is scheduled to open this fall and will be called the S-1 fund.
Before his resignation on Monday, Kernan led sales of alternatve investments through Schwab's Alternative Investment Source and Alternative Investment Access platforms that are offered to investment advisors. He had spent 16 years at Schwab.
Sean Hanna, Editor in Chief
Stay ahead of the news ... Sign up for our email alerts now