Headstream Asset Management envisages buying and selling equity options in its recently launched Headstream Value Partners hedge fund, a long-biased equity fund. Bill Ward, partner in Dallas, said the asset manager will consider trading puts and calls to hedge positions, as well as to speculate.
The fund, which was launched last month, currently has around USD30 million in assets, but Ward expects it to grow to USD100 million by year-end.
Banc of America Securities is the prime broker, but Headstream will shop around for derivatives counterparties, said Ward. The main deciding factor will be price, Ward added.
