Lodbrok Capital

Lodbrok Capital is a London-based hedge fund manager which employs a fundamental investment approach seeking to generate idiosyncratic returns from a structurally inefficient European credit market. It was founded in 2016 by former Farallon managing director, Mikael Brantberg. The firm launched the Lodbrok European Credit Opportunities Fund in May 2017 which invests long/short in stressed European credits which it considers mispriced due to situation-specific complexity, through a fundamental value-based investment approach. The liquid long/short credit strategy seeks to generate returns by identifying and analyzing mispriced situation-specific complexity in stressed European credit opportunities through a fundamental and concentrated investment approach. The long portfolio consists of 15-20 positions, focused on situations that it considers to demonstrate an asymmetric and situation-specific return profile with limited market exposure. The short portfolio comprises alpha shorts and portfolio hedges. A low/neutral duration and low beta exposure are targeted, which it believes allows the fund to take advantage of periods of market stress. The portfolio is focused on liquid credit instruments such as convertible bonds, corporate bonds, leveraged bonds, and traded loans.