CHICAGO - Three former executives of Wedgewood Capital Management Inc. have started their own firm, offering fixed-income and cash management to institutions.
Trias Capital Management Inc., Chicago, will be headed by Chairman and Chief Executive Officer James A. Casselberry Jr., President Michael L. Lucas and Chief Operating Officer Nora J. Bustamante.
Mr. Casselberry, formerly senior portfolio manager and chief operating officer at Wedgewood, will be responsible for business development and portfolio management in the new firm; Mr. Lucas, who was senior vice president and director of marketing at Wedgewood, will be responsible for marketing; and Ms. Bustamante, who was director of client services, will have the same responsibilities at Trias. The trio said they went on their own because they wanted to own the firm's equity and control its policy in a way they could not at Wedgewood, which is affiliated with broker/dealer Pryor, McClendon, Counts & Co.
Trias will concentrate on developing business from corporate funds, foundations, endowments and high-net-worth individuals. Since consultants are not likely to look at the firm before it has a track record, it will most likely bank on its principals' relationships to bring business during that early stage, said Mr. Lucas.
The firm's initial products will include two cash strategies - strategic and tactical - and two fixed-income strategies, composite bond and liability matched portfolios, said Mr. Lucas.
The strategic portfolio will carry a duration of 13 months and will be run like a traditional money market fund, while the tactical cash product has a duration of 24 months, he said. The composite bond portfolio is a total return product aimed at public pension funds and institutions seeking longer durations, and the liability matched portfolio will target defined benefit plans and the insurance industry.
The firm has signed up two institutional clients to start; Mr. Casselberry would not disclose the names, but he noted they are not former Wedgewood clients.