Hedge fund firm V2 Capital has secured a $200 million investment from an undisclosed Fortune 500 insurance company toward its hedged equity strategy.
The Chicago-based firm announced in a statement released Wednesday that the investment was allocated in the fourth quarter of 2012 and is now “fully deployed” in the strategy. The fund combines a long portfolio of U.S. stocks with a custom short portfolio of index options.
V2 founder, president and chief investment officer Victor Viner explained that the latest allocation “validates [the firm’s] belief that the [strategy] should be a core equity holding for institutional investors.”
He also added that the firm will focus on providing “institutional investors with low volatility returns that maximize upside participation while also limiting the downside potential of the market” in 2014.
Viner, who is the former co-founder, president and chief investment officer of Volaris Advisors, launched V2 in 2004. The firm had approximately $431 million in assets under management as of December 31, 2013.