Michael Kim, a partner at Rustic Canyon Partners, has formed Cendana Capital, a fund of funds investing in private equity.
Based in San Francisco, Cendana Capital will pursue a tactical and opportunistic strategy, which will include non-traditional private equity and venture capital investments.
Cendana Capital is forming at a time when more institutional investors face greater opportunities to generate excess returns, but are resource constrained or cannot deploy capital efficiently.
A recent study by Casey & Quirk projects that outsourced investment assets in the US will grow from USD195bn at the end of 2008 to USD510bn by 2012.
"Many institutional investors face significant challenges to achieving appropriate risk adjusted investment returns. There is a large and growing opportunity for next generation investors to construct optimal portfolios by better assessing risk opportunities across the entire private equity continuum," says Kim (pictured).
From March 2004 to September 2009, Kim was a trustee of the San Francisco Employees Retirement System, a USD13bn public pension fund, where he served as chairman of the investment committee and as president.
Based in Silicon Valley, Kim was one of the original partners at Rustic Canyon Partners, a venture capital firm headquartered in Santa Monica, California. With the formation of Cendana Capital, Kim will become an advisory partner, and transfer his responsibilities at Rustic Canyon Partners by the end of this year.
