Hedge Funds Featured Prominently in 2020 SPAC Boom

Nearly 13 percent of the blank check companies that filed plans to go public in 2020 were sponsored by hedge fund firms or individuals formerly associated with the industry.

(Alex Kraus/Bloomberg)

(Alex Kraus/Bloomberg)

Last year was — among many other things — the year of the SPAC.

Seemingly every financial manager who likes to do deals raised money in 2020 for special-purpose acquisition companies, also known as blank-check companies, hoping to find a merger partner who wants to instantly go public.

To continue reading, subscribe now to Premium Journalism. Already a subscriber? login.