San Francisco-based Raven Investment Group will adopt predominately convertible arbitrage strategies in its debut Raven Investment Fund, which will both buy and sell over-the-counter derivatives. Ed Yao, partner, said the fund will be multi-strategy, however, more than 85% will be traded in convertible arbitrage. Yao worked as an equity derivatives trader at Morgan Stanley in Hong Kong before leaving the firm in 2001 (DW, 5/13/01).
The fund, which is scheduled for launch in July, will use asset swaps and credit-default swaps, according to Yao. Morgan Stanley is the prime broker for the fund, which has not yet selected counterparties for derivatives trades, he added. Yao declined to state the fund's size.
