MidOcean’s Credit Fund Saw 13.9% Returns on Price Dislocations

MidOcean Partners, a New York-based alternative asset manager, handed investors of its multi-asset credit fund a 13.9% return last year after benefiting from the market mispricing some of the riskiest credits, according to a person familiar with the matter.

The actively managed, multi-asset fund is long only and includes loans and bonds. Its absolute return credit fund, which runs a long/short strategy and primarily focuses on high-yield debt, returned 12.5%, the person said, asking not to be named discussing a private matter.

Both high-yield bonds and leveraged loans saw double-digit returns last year. In a letter reviewed by Bloomberg, MidOcean ...