Stanley’s Angles

Zoe Cruz, the former investment banker at Morgan Stanley – nicknamed “Cruz Missile” – has launched her own hedge fund called Vorás Capital Management, together with former colleague Ellen Brunberg. The firm will be split in two; one global macro fund and one credit opportunities fund.

“I guess one will be buying, while the other is selling.”

econotwist

After spending nearly a quarter of a century at Morgan Stanley, reaching Co-President in 2006, she was ousted from the firm for numerous reasons.   One key being, a unit that reported to Cruz losing around US$ 3,7 billion in sub-prime real estate investments.

In 2006, she was on the Forbes 100 list of the most powerful women in the world, ranked number 10.

As being one of the most influential women on Wall Street, she was able to recruit many former Morgan Stanley employees, like Philip Newcomb, who was co-head of interest rates and currencies.

Mr. Newcomb is now chief operating officer at Voras Capital Management and is based in New York, off Park Avenue.

Why Voras?  Voras is a Greek word for “north” which is the name of the area where Zoe Cruz was born, gfinancenews.com writes.

Voras Capital Management has opened up offices in New York and Hong Kong. The fund is incorporated in the United Kingdom.

Fundraising has been challenging post-crisis, however Cruz managed to raise a decent amount.

Many pension funds have programs aimed at investing in emerging minority-female managers, and the Harvard business school graduate has been actively fundraising for the past few months and raised around US$ 200 million.

Two funds with unique strategies will be created, a global macro fund, which will be managed by Zoe Cruz.

The other fund is a credit opportunities fund run by Ellen Brunberg, who previously ran Morgan Stanley’s European securitized products group.

Credit opportunity funds are particular attractive to institutional investors, especially ones flush with cash.

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