Warana specializes in investing in more niche opportunities within the wider fund secondary market. We particularly like smaller transactions and situations where the liquidation process has already been underway a number of years. We have historically been one of the most active global players in the illiquid hedge fund market and also target smaller private equity funds that are less followed by the main stream secondary market. Infrastructure and real estate funds are also a focus as they tend to fit well into our value screening models. We look across all industries, markets and geographies and seek to be a good partner to work through bespoke solutions to complicated situations.
Our general approach is to hold positions until the underlying fund manager finalizes the sale of the underlying portfolio and winds up the fund vehicle, although we can be constructive partners to provide new capital to the extent the vehicle needs it to meet its goals. Due to the liquidation nature of most of the assets we acquire, we don’t tend to value future growth (unless certain) and our resulting portfolios tend to be diversified and uncorrelated to broader markets.