SRS Investment Management provides investment advisory services to private pooled investment vehicles such as hedge funds. Due to the generally risky nature of investing in these types of funds, they're typically limited to accredited investors with substantial assets. If you're new to investing or do not have millions to invest, use SmartAsset’s free financial advisor matching tool to find advisors who serve your area.
SRS Investment Management Background
SRS has been providing investment advisory services since 2007. Karthik R. Sarma currently serves as the principal owner of the firm. Previously, he held management roles at McKinsey & Company and Tiger Global Management.
SRS Investment Management Client Types and Account Minimums
Technically, the only clients of SRS are private investment funds. Investing in these funds generally is limited to accredited investors and qualified purchasers, as defined by federal securities laws. inim
SRS doesn’t publish its minimums, but according to SEC data, the firm requires at least $1 million to $5 million to invest in its funds.
Services Offered by SRS Investment Management
SRS delivers investment advisory services to private funds that invest primarily in publicly traded iniequities. Three funds operate through a master-feeder structure and one is a stand-alone fund.
In a master-feeder structure, investors pool money into a series of feeder funds. In turn, these funds invest in a centralized investment vehicle known as the master fund. This framework allows the master fund to benefit from domestic and foreign investments, while enjoying certain tax benefits and the reduced operating costs that come from consolidating portfolios.
Below, we list the private funds SRS currently advises, along with any related sub-feeder funds.
The Hedge Funds
- Hedge Offshore Feeder Fund
- Hedge Domestic Feeder Fund
Long-Only Funds
- Long-Only Offshore Feeder Fund
- Long-Only Onshore Feeder Fund
Special Opportunities (CAR) Fund
- CAR Offshore Fund
- CAR Domestic Fund
In addition, the firm manages the Special Opportunities Fund, a customized pooled investment vehicle for affiliates of SRS.
SRS Investment Management Philosophy
SRS investment strategies vary depending on the private funds being managed. The Hedge Funds invest in securities of all kinds, including stocks, bonds, options, certificates of deposit (CDs) and futures. The funds invest in both publicly traded and privately placed securities to capture superior risk-adjusted returns in the long term. The firm relies on extensive fundamental research when determining the asset allocations of its hedge funds.
The Long-Only Funds aim for superior relative returns through a global long-equity strategy based on fundamental research. Long positions involve buying stocks, commodities or currencies with the view that they will substantially rise in value.
The Special Opportunities (CAR) Funds and the Special Opportunities Fund follow an equity-centered objective, which may be reflected in some part by the other funds managed by SRS.
Fees Under SRS Investment Management
SRS presents detailed fee information in its confidential private placement memorandums or other relevant documents it provides to clients. Below, we provide a general overview of current management fees as they may apply to specific funds.
- Hedge Funds: SRS typically receives an annual fee equal to 1.5% of each investor’s share of the fund’s net asset value.
- Long-Only Funds: On the first day of each calendar quarter, SRS receives a fixed fee that varies by share class.
- A shares: 0.25% of the net asset value of each tranche of a sub-series of Series A
- B Shares: No management fee
- C Shares: 0.0625% of the net asset value of each tranche of a subseries of Series C Shares.
What to Watch Out For
SRS doesn’t provide personal financial services to investors. For someone who can customize your portfolio or guide your personal finances, use SmartAsset’s free advisor matching tool.
SRS has no disclosures on its SEC record.
Opening an Account With SRS Investment Management
To contact SRS, call (212) 520-7900.
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All information was accurate as of the writing of this article.
