Bloomberg – Mead Park Holdings LLC, the hedge fund led by former Credit Suisse Group AG (CSGN) trader Jack DiMaio, is creating a partnership with Doral Financial Corp. (DRL) to invest in junk-grade loans.
The hedge fund will take a 75.1 percent stake in the venture, Redan Park Asset Management LLC, which will have $1.1 billion in assets, New York-based Mead Park said yesterday in an e-mailed statement. The assets include collateralized loan obligations, or CLOs, an investment vehicle that buys loans to companies with low credit grades and finances them by selling bonds, a portion of which are rated triple-A.
