• Targeting $100 million AUM in first year.  [Note this is not hard and fast, but generally it becomes hard for very small funds to justify the insurance cost].  
• Fund of funds exposure acceptable
• Market Neutral focus
• Leverage of 10:1 or less
• Diversification-mix of investment focus.

Investment Advisors/Hedge funds are individually underwritten and there is no set pricing. As a guideline though, pricing begins at $18,000-$25,000 for a $1,000,000 limit, subject to a $100,000 minimum deductible. We can provide benchmarking information to help you select an appropriate limit.

Investment Advisor only coverage is also available and the cost is less expensive.

Hedge fund management liability has a more involved and longer underwriter cycle than most E&O or D&O policies for other industries.

We require the following as a minimum submission to determine eligibility for a quotation:

1. Most recent PPM(s)
2. Inception year-to-date performance for all funds & 3rd party accounts not invested in funds
3. Most recent audited financials for funds
4. Short synopsis of investment philosophy of fund(s)
5. Insurance company application.

I encourage anyone that is interested in our specialized insurance products for Hedge Funds to contact me directly.

Fred Gaston, CPCU
Contact Fred Gaston
1.914.864.1168