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Friday, January 3, 2014

Carlyle unveils its first mutual funds, (NASDAQ: CG)

Carlyle Group LP is preparing to launch its first two publicly listed mutual funds, according to a regulatory filing by the latest alternative asset manager seeking to offer its investment platform to retail investors in this way. Carlyle Enhanced Commodity Real Return Fund will mainly invest in commodity sectors including energy and metals, while Carlyle Global Core Allocation Fund will invest across equities, debt, real estate, commodities and currencies using primarily exchange-traded funds, according to the filing published this week by the U.S. Securities and Exchange Commission.A Carlyle spokesman failed to comment beyond the filing.Developing mutual funds has historically been challenging for private equity firms because the average takeover fund is illiquid, with a typical life span of 10 years. But as these firms diversified into relatively more liquid alternative assets such as credit and hedge funds, they have sought to widen their investor base beyond institutional investors."I do think that the retail investors are just a lot bigger pile of money than all the other piles of money we can get from investors," Carlyle co-founder and co-CEO William Conway told a Goldman Sachs financial services conference last month.

Shares of CG traded higher by 2.69% or $0.94/share to $35.93. In the past year, the shares have traded as low as $23.85 and as high as $37.89. On average, 488414 shares of CG exchange hands on a given day and today's volume is recorded at 210210.