Hildene Opportunities Fund: Hildene Capital Management

On the hunt

Hildene the hunter ready to pounce

Hildene Capital Management, the structured credit hedge fund founded in 2008 by Brett Jefferson, has risen to prominence on the back of some pretty esoteric trades.

Take trust preferred securities (Trups), a hybrid debt/equity instrument issued by US financial institutions, which has proven to be a wildly profitable investment for Hildene.

Trups were created by selling preferred shares via an off-balance-sheet trust and using the proceeds to purchase the issuer’s subordinated bonds. Investors