CAPITAL FUND MANAGEMENT S.A.
A. The Advisory Firm
Capital Fund Management S.A. (“we”, “us”, “our” or the “Firm”) provides discretionary investment management services to US and non-US clients from its offices in Paris, France. Founded in 1991, we are today registered with the US SEC as an investment adviser, with the US Commodity Futures Trading Commission (“CFTC”) as a commodity trading adviser (“CTA”) and commodity pool operator (“CPO”), and we are a member of the National Futures Association (“NFA”) in such capacity. In France, we are regulated by the Autorité des marchés financiers (“AMF”) as a UCITS portfolio management company in accordance with Directive 2009/65/EC of the European Parliament and of the Council of 13 July 2009, as amended. Today, the Firm has five wholly owned subsidiaries: Capital Fund Management International, Inc. (“CFMI”), CFM North America, Inc (“CFM NA”), CFM Asia KK, CSysNet and CFM Corporate Member Limited. CFMI and CFM NA are both limited liability companies incorporated in Delaware, USA. CFM Asia KK is a Japanese kabushiki kaisha (stock company). CSysNet is a French corporation. CFM Corporate Member Limited is a limited company registered in England and Wales, which holds the majority stake in Capital Fund Management LLP (“CFM LLP”) and manages the operations of CFM LLP based on a broad power of attorney. CFMI has offices in New York and contracts with us to interface with investors in investment funds we advise and maintains certain of the IT infrastructure we keep in the United States. CFMI does not provide investment advice. CFMI has contracted with Foreside Financial Services LLC (“Foreside”), a SEC-registered broker-dealer and member of FINRA, for the purpose of registering certain employees of CFMI’s Investor Relations team as representatives of Foreside that are permitted to engage in marketing activities in the United States. CFM NA is the managing member/general partner of certain funds organized as Delaware limited liability companies or offshore partnerships that we advise. CFM NA is registered with the CFTC as a CPO and is a member of the NFA. CFM NA has delegated its powers and authority under the governing agreements to various service providers, including to us to act as an investment adviser and to CFM LLP to act as a private fund adviser. CFM Asia KK has offices in Tokyo, Japan and contracts with us to facilitate communications with investors and potential investors in funds we advise and to interface with investors and potential investors in Japan and Asia. CFM Asia KK does not provide investment advice. CFM Asia KK is registered as a Type II Financial Instruments Firm and an Investment Advisory and Agency Firm with the Japanese Financial Services Agency. CSysNet acts as a purchaser of IT equipment for the Firm and its affiliates. CFM Corporate Member Limited has offices in London and manages the operations of CFM LLP based on a broad power of attorney. CFM LLP has offices in London and operates a branch office in Sydney. CFM LLP provides investment management services and is registered with the UK Financial Conduct Authority (“FCA”) as an Alternative Investment Fund Manager (“AIFM”) pursuant to Directive 2011/61/EU on Alternative Investment Fund Managers and has filed with the SEC as an exempt reporting adviser operating from outside the United States. For funds where CFM LLP acts as an AIFM, CFM SA will generally be appointed as a portfolio manager. The principal owners of the Firm are Jean-Philippe Bouchaud (Chairman), Philippe Jordan, Marc Potters (CIO) and Jacques Saulière (CEO), all of whom are also board members and investment committee members of the Firm. We are a privately owned company, majority owned by the board members and staff. Dyal Europe Holdings Limited owns through a UK based vehicle a minority stake in the Firm. The Firm and its subsidiaries employ approximately 290 staff in Paris, New York, London, Sydney and Tokyo, divided between Research, Data, Front Office-IT, Operations-IT & Risk Control, IT-Infrastructure, Operations, Legal & Compliance, Administration and Investor Relations. The clients to whom we provide portfolio management services invest in accordance with our Stratus, CFM Institutional Systematic Diversified (“CFM ISD”), CFM Institutional Systematic Equity MN (“CFM ISE MN”), CFM Institutional Systematic Behavioral (“CFM ISB”), CFM Ensemble and CFM Global Equities Dynamic Beta (“GEDB”) programs. All Stratus and CFM Ensemble clients are organized as private funds. CFM ISD, CFM ISE MN, CFM ISB and CFM GEDB are available in a private fund format and as managed accounts for clients with account balances above US$150m. The Firm also operates three managed futures programs, Discus, CFM Institutional Systematic Trends (“CFM IST”) and CFM Institutional Systematic Trends Equity Capped (“CFM ISTEC”), whose clients are mainly organized as investment funds. CFM IST, CFM ISTEC and CFM ISD are also available as separate managed accounts for clients with account balances above US$200m. After being restructured, Discus was reopened to new subscriptions as of June 2019. Stratus is closed for further investment from new subscribers. Stratus may occasionally accept subscriptions in order to replace redemptions.
B. Advisory Services
We use a systematic/quantitative approach to trading the financial markets. All of our strategies fall within what is often referred to as “alternative investments”. Stratus and Discus are “hedge fund” strategies that seek to capture “alpha”, i.e. returns that are skill-based and seeks to be uncorrelated with traditional market indices. CFM ISD, CFM IST, CFM ISTEC, CFM ISE MN, and CFM ISB (collectively “CFM IS”) may be referred to as “alternative beta” strategies that seek to follow widely documented hedge fund strategies. CFM Ensemble operates as an allocation to Stratus and CFM ISD. CFM GEDB is a quantitative long only equity strategy seeking to outperform global equity benchmarks on a risk adjusted basis. The Firm primarily trades futures, foreign exchange, securities (equities, fixed income and exchange traded funds), options, credit default swaps, as well as derivatives on all of the foregoing underlyings, in leading financial centres in the US and internationally. Our strategies are global in nature and focus on trading in liquid financial instruments generally available on exchanges, electronic platforms or in certain cases liquid markets that are dealer focused. Such liquid instruments are generally “easy to value”. We also participate in OTC markets, where we trade privately negotiated options contracts and credit default swaps, and may start to trade interest rate swaps in the future. The OTC activity remains small compared to the overall activity of the Firm. In addition, certain of our securities trades may be considered as OTC as they are financed synthetically as swaps. Such swaps (foreign exchange forwards, options, credit default swaps and equity swaps) held by our private fund clients are all valued based on quotes from central counterparties, electronic platforms, brokers or by service providers appointed by a third party administrator for the purposes of determining the applicable private fund’s NAV. The investment strategies of, and other material information about, each private fund are set forth in each private fund’s offering documents provided to investors in such fund at or prior to their investment. We have invested significant resources in developing our proprietary technology platform for trading decisions, execution, post-trade processing and risk management. We carry out materially all of our trading electronically on exchanges or electronic platforms either through direct market access through brokers or through exchange memberships. Only a small share of our trading is carried out manually in the OTC markets over electronic screens, chat, email and/or telephone. Our systems support straight-through processing of substantially all post- trade activity. Our own in-house IT engineers develop and maintain all core software we use to operate our business and trading.
C. Tailoring of Advisory Services
We currently manage eight trading programs: Stratus, Discus, CFM ISD, CFM IST, CFM ISTEC, CFM ISE MN, CFM ISB and CFM GEDB. In addition, CFM Ensemble operates as an allocation to Stratus and CFM ISD. Stratus is a quantitative trading program providing exposure to our “hedge fund” strategies including directional trading, intraday trading, directional volatility, statistical equity arbitrage and statistical volatility arbitrage. Stratus trades futures, foreign exchange, sovereign debt as well as equities, listed options, credit default swaps and derivatives on all of the foregoing. Stratus is included in our regulatory assets under management (“RAUM”) as well as in our Form PF. Stratus is closed for investment, and accepts subscriptions only in order to replace redemptions. Discus is a managed futures program focusing on directional trading in futures and foreign exchange and does not invest in securities. Discus has been reopened for subscriptions as of June 2019. As Discus does not include securities in its portfolios, we have excluded this program from our RAUM. We report, however, commodity pools trading in accordance with Discus on Form PF on a voluntary basis. CFM ISD was launched in January 2014 and is an alternative beta program focusing on widely documented hedge fund strategies such as trend following, equity market neutral, short volatility and carry. In CFM ISD we seek to include alternative beta strategies that have been shown to be persistent over time. CFM ISD trades futures, foreign exchange, as well as equities, listed options, credit default indices and derivatives on all of the foregoing. Since the beginning of 2015, private funds trading in accordance with CFM ISD are included in our RAUM and is reported on Form PF. CFM IST was launched in January 2013 and is a managed futures program focusing on trend following by trading futures and foreign exchange. CFM IST does not include securities in its portfolios and is therefore not included in our RAUM. We report, however, commodity pools that trade in accordance with CFM IST on Form PF on a voluntary basis. CFM ISTEC is a managed futures program focusing on trend following by trading futures and foreign exchange. The program is different from CFM IST in that its equity beta exposure is to be capped at zero relative to the beta of a portfolio of global equity indices. CFM IST does not include securities in its portfolios and will therefore not be included in our RAUM. We will, however, report commodity pools that trade in accordance with CFM ISTEC on Form PF on a voluntary basis. The first client trading in accordance with CFM ISTEC is expected to receive seed funding in April 2019. CFM ISE MN was launched in March 2016 and is an alternative beta program focusing on widely documented equity market neutral strategies. CFM ISE MN trades equity securities and derivatives on securities. Private funds trading in accordance with CFM ISE MN are included in our RAUM and reported on Form PF. CFM ISB was launched in March 2016 and is an alternative beta program focusing on widely documented trend following and equity market neutral strategies. CFM ISB trades futures, equity securities and derivatives on securities (and may trade foreign exchange forward contracts in the future). As of 31 December 2019 CFM no longer manages private funds trading in accordance with CFM ISB. CFM Ensemble was launched in January 2018 as an allocation to our Status and CFM ISD programs. The private fund trading in accordance with CFM Ensemble realizes its investment objective through investments in two master funds trading in accordance with Stratus and CFM ISD, respectively. The private funds trading in accordance with CFM Ensemble are included on our Form PF as a part of the RAUM of CFM Ensemble. CFM GEDB was launched in April 2018 and is a program focusing on global equity markets strategies. CFM GEDB takes long positions in single equities modulated by an equity futures exposure. CFM GEDB trades a variety of financial instruments including equities, equity derivatives and futures on equity underlyings. Private funds trading in accordance with CFM GEDB are included in our RAUM and reported on Form PF. We generally implement our trading programs in a similar manner for all investors. For the Stratus master fund, there are private feeder funds available for US and non-US investors (also available to certain tax-exempt US investors). The CFM ISD and CFM IST master funds are currently fed by two private feeder funds established for non-US investors and one feeder fund established for US investors. CFM ISE MN master fund is fed by a private feeder fund established for non-US investors. CFM Ensemble is available as a private feeder fund for non-US investors. The CFM GEDB master fund is currently fed by a private feeder fund established for non-US investors. Certain of the feeder funds established for non-US investors may also accept investment from tax exempt US investors. Depending on the structure, the feeder funds may offer shares or partnership interests to investors. For convenience, these are both referred to herein as “interests”. Our client feeder funds generally offer both US$ and EUR interests in order to allow investors to choose base currency. Certain feeders also offer interests denominated in AUD, CAD, GBP and/or JPY. In addition to the private funds and commodity pools discussed above, the Firm also advises certain Non-US funds that do not accept US investors. Such non-US funds are not included as a part of our RAUM and are excluded from Form PF. As of the date of this document, we advise one separately managed account that trades securities for a US person.
D. Wrap fee programs
We do not participate in any wrap fee programs.
E. Assets Under Management
As of December 31, 2019, we managed total client assets of US$9,332.7m in leveraged equity corresponding to US$$7,673.4m in net assets. Our RAUM, which only includes portfolios available to US Persons that trade securities, comprises a total leveraged equity of US$7,062.7m corresponding to net assets of US$5,598.8m. The above figures are reported in accordance with US GAAP. We managed all of this RAUM on a discretionary basis. please register to get more info
Open Brochure from SEC website
|Pooled Investment Vehicles
Registered Web Sites
Endiya Partners is looking to cut cheques of between $1 million and $1.5 million for its first investments in startups and will deploy a total of $4-$5 million for follow-on investment.
Six hundred sixty-one projects (around 55.1%) estimated at 727 billion kwanzas were funded this year under the Production Support, Export Diversification and Import Replacement Programme (PRODESI), the minister of Economy and Planning has said.
Daniel Loeb, the hedge fund manager best known for bruising activist battles at public companies, is turning his hand to venture capitalism. Mr Loeb’s Third Point is raising its first dedicated venture capital fund,
Primomiglio Sgr, an Italian venture capital firm, has launched a space startup focused venture capital fund. Primo Space focuses on space investments, with first closing at €58m and target size of €80m.
NEL Fund Managers has made its one hundredth Small Loan Fund investment. The firm manages the £9m pot, which is supported by the European Regional Development Fund and offers loans of between £10,000 and £100,
DCI Partners, a venture capital fund manager of Daiwa Securities Group, has launched a 14 billion yen ($135 million) investment fund focused on drug discovery projects. The fund is one of the largest of its type in Japan,
“In addition to the number of investments we’ve made, it’s especially pleasing to have seen some of our SLF investees applying for a further investment from the Growth Capital Fund after achieving their initial growth objectives and setting ...
International Finance Corporation, the World Bank’s private-sector investment arm, is coming in as a limited partner for the second venture capital fund of Stellaris Venture Partners. IFC plans to invest up to $25 million (about Rs 185 crore) in ...
BERLIN (Reuters) - With Europe in coronavirus lockdown, venture capital fund manager Fergal Mullen told his investors in April he would find it hard to back a startup without first meeting its ...
Analysis: From Famine to Feast, Investment in European Tech Startups Roars Back BERLIN (Reuters) - With Europe in coronavirus lockdown, venture capital fund manager Fergal Mullen told his ...
No recent news were found.