Victory Capital Management increases stake in Cerebellum Capital

Victory Capital Holdings made an additional minority investment in hedge fund manager Cerebellum Capital.

The firm took it first minority stake in Cerebellum, which specializes in applying machine learning to investment management, in December 2016. Terms of the deal were not disclosed then and are not being disclosed now, said Tricia Ross, a spokeswoman for Victory Capital.

"We believe artificial intelligence represents a tremendous opportunity to augment and evolve active investment management," said David Brown, Victory Capital's chairman and CEO, in the release.

He added that several of Victory's investment boutiques are working with Cerebellum to find ways to apply machine learning processes to their investment strategies.

Victory Capital's money managers ran a total of $61.8 billion as of Dec. 31, the release showed.

Cerebellum managed $391 million at the end of 2017, according to its ADV filing with the Securities and Exchange Commission.