State Street Global Advisors, the investment management arm of State Street Corp., has a new long-short 130/30 mutual fund.
The SSgA Core Edge Equity Fund invests in large and midcap securities. The equities it owns should equal up to 130% of the fund's net asset value at any given time. It plans to short sell securities with deteriorating business fundamentals or valuations. The replacement cost of all securities sold short should come to about 30% of the fund's net asset value, the Boston company said Thursday.
State Street Global Advisors, which had $2 trillion of assets under mangaement at the end of 2007, has managed long-short equity funds for 15 years and was managing $12.8 billion in these strategies on Dec. 31. It came out with its first 130/30 fund in 2004.
