Laurus Launches New Hedge Funds

Laurus Capital Management has launched the Valens Fund. Valens, which means "strong and powerful" in Latin, will be based on the Laurus' core strategy of investing in publicly traded small and micro cap companies that are seeking cost effective growth

By None

Laurus Capital Management has launched the Valens Fund. Valens, which means “strong and powerful” in Latin, will be based on the Laurus’ core strategy of investing in publicly traded small and micro cap companies that are seeking cost effective growth capital.

“The Valens Fund is a natural progression for us as we transition to the next phase of our corporate evolution,” says Dennis Pollack, Senior Managing Director. “We are very excited about this new fund and look forward to building a positive future for our investors”.

The new fund will offer two share classes. The first share class will have a lock-up period of 12 months, with an early redemption option available quarterly with 90 days notice and a penalty of 5% payable to the fund. Thereafter, the fund will offer quarterly liquidity with 90 days notice. Management and incentive fees for this share class will remain consistent with Laurus’ existing fund, a 2% management fee and a 20% incentive fee up to 25% of net returns and 30% thereafter. The second share class will have a 3 year hard lock-up, and annual liquidity with 90 days notice thereafter. For this class, fees will be reduced, with management fees at 1.5% and incentive fees equal to 15% up to 25% of net returns and 20% thereafter.

“We expect that institutional investors will be particularly attracted to the second share class,” says Pollack, “the 25% reduction in management fees alone will have a dramatic and positive impact on their returns.”

«