The performance of most hedge fund strategies in the year 2015 was average. This however, has not affected the hedge fund industry assets as they are at the top as compared to the past few years. The institutional investors have taken to themselves to allocate alternative asset management sector hoping to achieve higher returns to match the rising liabilities. Managers of smaller hedge fund are struggling to attract capital. This is making them operate below the set portfolio capacity level. Generally, the managers are forced to incur higher operational expenses as the pressure on fees is forced downward. Therefore, strategic alternatives are becoming popular among the hedge fund managers.
The dealing environment for the hedge fund industry happened to be solid in the year 2015. Much improvements is expected to make it even stronger in 2016. Operationally, a number of mechanisms are being used to accommodate sellers and buyers. Apart from the traditional M&A, the transactions are structured as incubator deals, PE bolt-ons, revenue share stakes and others. The industry is expecting to see consolidation, mostly on the partnership that bond distributions to product offering.
More on Madison Street Capital
There is more in Madison street capital than what meets the eye. In banking investment, the company is involved in term loans, syndicated loans, debt refinancing, secured lending facilities, revolving credit facilities, and other forms of commercial operational lending. The financing transactions mentioned earlier are being overseen by the financial arranger, MSC. There is no guarantee as to whether the MSC will be a success in identifying financing source. The MSC will act as a lender and therefore should not be confused for a bank. The agreement and negotiations between parties of financing will be the backbone of the terms set by MSC.
The MSC has gone global in providing investment banking and financial advisory services. It also has industry sectors all over the world with engagements ranging from: private debt placements, M&A transactions, valuation, ESOP advisory and restructuring. Its professionals have taken part in representing the company in public and private companies not forgetting shareholders and special committees. With Reginald McGaugh as the managing director, the company is positive to utilize his experience and relations to take the company to higher heights. Apart from his main focus in healthcare, Mr. McGaugh is focusing his efforts on advisory side of deals structured in compliance with the Islamic law philosophies as the company expands in Middle East and Africa.