Carrie McCabe, former CEO of both FRM Americas and Blackstone Alternative Asset Management, has launched a new firm that develops concentrated hedge fund strategies for institutional investors. Lasair Capital — lasair being derived from the Gaelic word for “flame” — will design customized hedge fund strategies for institutions that want to take bigger bets on fewer managers. “Many funds of funds invest in more than 100 underlying funds,” McCabe says. “I don’t believe in taking hedge fund risk to get a bond-like return, which is what you get with such a strategy.” As for doing a start-up in today’s rocky market, McCabe, who reportedly counts General Electric as a minority shareholder but declined to comment on her partner, notes, “The next five years will be much more challenging than the past five. But it’s like the oriental philosophy: When you’re in the water and the water flows out, you can see all the rocks.”
