Why CFOs should stop mistrusting hedge funds
The Basle II Capital Accord is being welcomed with open arms by Octagon Asset Management. It runs two alternative funds that specialize in asset-based lending, and CEO Mead Welles is confident that his firm will benefit from the higher credit costs that banks will likely charge borrowers they perceive to be particularly risky. The liquidity gap that Octagon fills between commercial banks and investment banks for borrowers – predominantly in the agriculture, food and shipping industries in emerging-market countries – is likely to widen.
Welles worked...
