Rutherglen Capital, a hedge fund manager with USD5 million under management, is considering using over-the-counter equity options for its debut fund dubbed the Rutherglen Capital Global Media Fund. "We might be using them in the near future," said Neil Carter, director in Sydney, noting that OTC options could be used as a hedging tool for its market-neutral media sector fund. Carter noted that options will only make up a small portion of its portfolio as it primarily trades cash equities, exchange-traded funds and listed index products.
Rutherglen Capital started trading last December to build a track record and is targeting a soft close of USD100 million. It will open to investors next month. Carter and John Kenny, co-manager in London, were media sector specialists in equity sales at ABN AMRO in London.
