International Equine Acquisitions Holdings is turning itself into a hedge fund that will make money off of ponies!* IEAH, founded five years ago by Michael Iavarone and Richard Schiavo, already owns 80 horses in training, 15 broodmares and a handful of future stallions, including Big Brown, who’s favored to win this year’s Kentucky Derby. In its new iteration, Iavarone says the fund will offer “liquidity and options that people in the horse business have never had before.” The firm hopes to raise $100 million and possibly go public before the end of the year. With aspiring jockey Larry Robbins, and his hefty donation, on their side, they can’t lose.
Equine hedge fund tries to outpace the market [Reuters]
*(Don’t care for horses myself but I used the exclamation point because I get the sense I’m in the minority on this one. Show of hands, how many of you foam at the mouth over this stuff? Okay, now among those of you with your hands in the air, how many of you would say your predilection has to do with polo match connotations? And how many would say you’re more inclined to chalk it up to a deeply repressed desire to play with one of these? These are questions IEAH is going to ask you during the qualified investor screening process, better get used to answering them now.)
Posted by guest , Apr 22, 2008 2:58PM
Always bet on a gray horse. Always bet on the horse that came in 2nd in its last race. Always bet the outside track bias at Louisiana Downs. Always bet the horse with 6:1 odds. Always bet the horse with the absolute worst prior performance in an increased class race. You can thank me later.
Posted by guest , Apr 22, 2008 3:03PM
Always bet on Sarah Jessica Parker.
Posted by guest , Apr 22, 2008 3:13PM
At least this fund doesn't have to worry about undercapitalized banks not being able to provide a bid for inventory they need to liquidate (as long as Elmer's and Belgian restaurants remain natural buyers.)
Posted by guest , Apr 22, 2008 3:49PM
@3:13 I resent that.
Mr. Ed
Posted by guest , Apr 22, 2008 4:38PM
Why not bet on the horses, the odds of any of you money managers beating the S&P can't be any better than this.
Posted by Lowly Assistant , Apr 22, 2008 5:03PM
@Mr. Ed,
This is why I'm vegan. Popsicle-stick houses up, horses down. 'Tis a shame...goddamned kids and all their creativity.
Posted by hawk99 , Apr 22, 2008 5:04PM
$100 to win on Bess
Posted by guest , Apr 23, 2008 7:30AM
I'm not saying anything but a million years ago there was a sleazebag named Robert Brennan and he ran a bucket shop named First Jersey Securituies. The slogan was ‘come grow with us’ and he flew around in a helicopter like scott trade does now. Their most famous POS stock was Intl Thoroughbred. I still have no idea what they were supposed to do. Hell it may still be out there.
Those who do not remember the past are doomed to repeat it(or something like that)