03-03-2009, 09:51 AM
<b>Hedge Funds Offering India Companies to Private Equity, 3i Says</b> <!--QuoteBegin-->QUOTE<!--QuoteEBegin-->During Indiaâs five-year bull market, private-equity investors faced competition for stakes in companies from hedge funds, including San Francisco-based Farallon Capital Management LLC and New York-based D.E. Shaw & Co. While private-equity firms typically take stakes in companies that need cash to expand and seek to exit the investment over a set time frame, hedge funds can invest for any length of time, change their investment strategies, and have ready access to a pool of funds.
<b>Thatâs unwinding as investors pull money from hedge funds, forcing managers to dump assets. At the same time, global banks and insurers are selling assets after amassing $1.2 trillion of credit losses and writedowns since the start of 2007</b>. <!--QuoteEnd--><!--QuoteEEnd-->
<b>Thatâs unwinding as investors pull money from hedge funds, forcing managers to dump assets. At the same time, global banks and insurers are selling assets after amassing $1.2 trillion of credit losses and writedowns since the start of 2007</b>. <!--QuoteEnd--><!--QuoteEEnd-->