Key Takeaways
- • Agave Capital Management, the London-based macro hedge fund founded by former Citadel portfolio manager and partner Gilberto Marcheggiano, reported £21m ($28.5m) of turnover over its 13-month initial accounting period, according to eFinancial Careers.
- • All of the reported turnover was recorded as investment management fees, combining recurring management fees and performance fees recognised when gains crystallise.
- • The fund launched with approximately $1bn in assets, and its accounts show £14.3m of prepayments and accrued income at period end.
- • The filed accounts do not split accrued income between management and performance fees, so the fund's precise investment return cannot be calculated from the filings.
- • Agave did not respond to requests for comment.
Summary
The firm reported £21m ($28.5m) of turnover over the 13-month period. All of that revenue was recorded as investment management fees, and the accounts indicate the figure includes both recurring management fees and performance fees recognised when investment gains crystallise.
At the end of the period, Agave held £14.3m of prepayments and accrued income on its balance sheet. The accounts do not specify how much of this relates to management fees versus performance fees, which makes the fund's precise investment return difficult to calculate. eFinancial Careers notes that if a significant proportion of the accrued income represented crystallised performance fees, the figures could point to returns in the mid-single digits during the fund's early period, based on its roughly $1bn asset base. That estimate is an inference from the filings rather than a reported performance figure.
Agave reportedly did not respond to requests for comment.
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