How a New York Hedge Fund is generating returns of over 20% p.a. from litigation financing

David Clark

Koda Capital

In this episode, David is joined again by Akiva Katz, one of the founders of Bow Street LLC, an event-driven hedge fund manager, to discuss their litigation financing strategy.

Aiming to produce IRRs in excess of 15 to 20% p.a. from litigation financing, Bow Street finds and purchases litigation assets in which guilt has already been established and the outcome is no longer binary. In these cases the question changes from will there be to damages, to "How much are the damages?".

Akiva Katz, and his business partner, Howard Shainker, became friends in 2004 at Harvard Business School. There they came up with the idea for Bow Street, named after a street in Cambridge, Massachusetts, near the restaurant where they would meet to talk about their plan. Believing that economic conditions would be setting up for a momentous event-driven climate over the next several years, they wanted to create a hedge fund that would combine research-intensive approach with an event-driven mentality.

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This research note has been prepared without consideration of any client's investment objectives, financial situation or needs. Before acting on any advice in this document, Koda Capital Pty Ltd recommends that you consider whether this is appropriate for your circumstances. While this document is based on the information from sources which are considered reliable, Koda Capital Pty Ltd, its directors, employees and consultants do not represent, warrant or guarantee, expressly or impliedly, that the information contained in this document is complete or accurate. Koda does not accept any responsibility to inform you of any matter that subsequently comes to its notice, which may affect any of the information contained in this document. © Copyright Koda Capital 2020 | AFSL: 452 581 | ABN: 65 166 491 961 |

David Clark
Adviser & Partner
Koda Capital

David Clark is an Adviser & Partner at Koda Capital. In his podcast ‘Inside the Rope’, David interviews some of the leading minds in wealth management.

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