Keep pulling the thread on Walleye Capital.
UTIMCO's allocation on the Dockside platform is approximately $7 billion in Gross Market Value (GMV).
The State of Wisconsin Investment Board is exploring vertically integrating its operations by lending securities from its long-only portfolio to short-sellers on the Dockside platform.
The multi-strategy hedge fund model allows large institutions to implicitly borrow capital at a rate of the Federal Funds Rate plus approximately 20 basis points.
New portfolio managers can receive $300 million to $500 million in capital on day one by joining the Dockside platform from anchor investors like SWIB and UTIMCO.
By combining multiple portfolio managers with individual Sharpe ratios around 0.9, UTIMCO aims to construct an overall portfolio on Dockside with a Sharpe ratio of 2.5 or higher.
The State of Wisconsin Investment Board (SWIB) estimates its annual cost savings from using the Dockside platform to be in the tens of millions of dollars.
UTIMCO is an endowment managing $88 billion for 22 academic and health institutions.
The Zero Beta hedge fund portfolio at UTIMCO is approximately $11 billion in size.
Walleye Capital is a $12 billion multi-strategy hedge fund with a full pass-through model.
Dockside is a subsidiary of Walleye Capital's parent company and operates as a separate business.
The Dockside platform was co-founded by representatives from Walleye Capital, the State of Wisconsin Investment Board, and UTIMCO in 2022.
Derek Drummond is actively seeking to build a multi-portfolio manager commodity strategy on the Dockside platform.