Istithmar World-backed Gulf Stream opens New York office

The credit specialist is establishing a credit dislocation and a credit hedge fund to take advantage of the liquidity crisis in the US. The firm hired Mark Zusy, a former Lehman executive, and Sukai Liu for the New York office.

Istithmar World-backed credit specialist Gulf Stream has opened an office in New York ahead of establishing a US-based credit dislocation fund and a multi-strategy credit hedge fund.

As part of the expansion, Gulf Stream hired former Lehman executive Mark Zusy to manage the firm’s New York office, and Sukai Liu, who founded Visor Alternative Investments, a multi-strategy credit and relative value investment manager, to run hedge fund portfolio management.

Gulf Stream is “aggressively pursuing an expansion strategy to capitalise on current market opportunities”, the firm said in a statement. No information was available about the amount the funds are targeting.

Gulf Stream, based in Charlotte, North Carolina, manages about $3.8 billion of corporate credit portfolios for global institutional investors.

Istithmar, backed by the government of Dubai, bought a majority stake in Gulf Stream earlier this year for an undisclosed amount. The investment was made through the firm’s private equity and alternative investment arm Istithmar World Capital.

The firm rebranded itself this year as it sought to diversify. As part of the rebranding, the firm split into three divisions, private equity arm Istithmar World Capital, an aviation unit called Istithmar Aviation and the venture division Istithmar Ventures. The firm also has a real estate arm.

Istithmar was established in 2003 with an initial $2 billion investment and is owned by Dubai World, which itself is owned by the Dubai government. The firm has deployed more than $3 billion of capital in real estate, consumer, industrial and financial sectors.