{"id":5729,"date":"2007-02-28T00:00:00","date_gmt":"2007-02-28T00:00:00","guid":{"rendered":""},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-30T04:00:00","slug":"private-equity-and-hedge-funds-slug-it-out-financial-news-online-us","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/02\/2007\/private-equity-and-hedge-funds-slug-it-out-financial-news-online-us.html","title":{"rendered":"Private equity and hedge funds slug it out"},"content":{"rendered":"<p>  <span class=\"intro\">Private equity firms are blackballing or banning credit hedge funds from participating in the leveraged loans and high yield bonds that back their buyouts and recapitalisations.  The move is the latest sign of growing tensions between the two.<\/span><\/p>\n<div>\n<div class=\"AdManAd\">    <a href=\"http:\/\/adserve.efinancialnews.com\/accipiter\/adclick\/CID=fffffffcfffffffcfffffffc\/acc_random=28741710\/SITE=FNOUS\/AREA=HOME\/ZONE=9\/pageid=21228411\" target=\"_blank\"><img border=\"0\" src=    \"http:\/\/efn-images.adbureau.net\/efn\/accipiter\/images\/AE1.gif\"><\/a>  <\/div>\n<\/div>\n<p>  <span class=\"storytext\">While blackballing is not unusual, the practice suggests battle lines are being drawn between private equity sponsors and the hedge fund industry.<\/span><\/p>\n<p>  <span class=\"storytext\">The head of a European high yield capital markets department in London said: \u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cThere has been a long history of private equity firms and hedge funds at odds with each other  in the private mezzanine market but the tension has spilled over into other segments of the leveraged finance and high-yield arena.\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d<\/span><\/p>\n<p>  <span class=\"storytext\">\u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cIt\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s fair to say that many, if not all, financial sponsors \u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u20ac\u0153 including the most powerful \u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u20ac\u0153 have a blacklist of hedge funds they do not want investing in leveraged loans or  other subordinated financing supporting their buyouts or recapitalisations,\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d he said.<\/span><\/p>\n<p>  <span class=\"storytext\">Private equity sponsors and hedge funds raise money from the same wealthy individuals and large institutional investors by promising lucrative returns. But they take  different approaches to trading bonds and loans on the capital markets, which lie at the heart of the clash.<\/span><\/p>\n<p><strong><a href=\"http:\/\/news.google.com\/news\/url?sa=T&amp;ct=us\/1-0&amp;fd=R&amp;url=http:\/\/www.financialnews-us.com\/%3Fpage%3Dushome%26contentid%3D1047285236&amp;cid=1114010780&amp;ei=goblRf_RMaCIsgHOpoTADA\">ReadComplete Article<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Private equity firms are blackballing or banning credit hedge funds from participating in the leveraged loans and high yield bonds that back their buyouts and recapitalisations. The move is the latest sign of growing tensions between the two. While blackballing [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-5729","post","type-post","status-publish","format-standard","hentry","category-syndicated"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/5729","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=5729"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/5729\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=5729"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=5729"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=5729"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}