Brevan Said to Plan New Hedge Fund as Assets in Main Pool Shrink

(Bloomberg) -- Brevan Howard Asset Management is preparing to start another hedge fund this year to take advantage of changes in monetary policy as the investment firm further cuts reliance on its shrinking flagship pool, said a person familiar with the matter.

The Brevan Howard FG Macro Master Fund will be managed by Geneva-based Fash Golchin and start trading in September or October, said the person, who asked not to be identified because the information hasn’t been publicly disclosed. A spokesman for the money manager led by billionaire Alan Howard declined to comment on the news, which was first reported on Wednesday by Reuters.

Jersey-based Brevan Howard is staging a comeback from years of poor performance that have sent assets down by more than three-fourth to about $8 billion since 2013. The firm’s main $3.5 billion Brevan Howard Master Fund gained 9.4 percent through July this year, according to a letter to investors, while a money pool run by Howard himself surged 37 percent in May.

The new fund is part of a series of launches at Brevan Howard, which in the past year has started funds run by individual money managers betting on everything from interest rates and volatility to Greek assets. It marks a reversal for the firm, where a top executive once said that running multiple funds was a “distraction.”

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