Rant Sports Parent Closes $3M Round Of VC KKR Withdraws IMG Bid Bornstein, Shapiro Advising Competing Bids For IMG CAA Out Of Hunt For IMG Disney Reports Higher Q4 Earnings Second Round Of Bids For IMG Were Due Thursday Adidas' Q3 Operating Profit, Sales Drop 21st Century Fox Revenues Exceed Forecasts SMI Sees Ticket Sales Decrease In Q3 Chime Communications Buys JMI For $76M
Taking A Gamble: Centaur's Galileo Fund Making Bets On Sports
Published April 20, 2010
The new Centaur Galileo hedge fund in London last Saturday was slated to begin "making investments not in the traditional financial playing fields of stocks, oil futures or real estate, but in the actual playing fields of soccer, tennis and horse racing," according to Nathaniel Popper of the L.A. TIMES. Experts said that Galileo, which requires a minimum investment of about $135,000, is "probably the first hedge fund to make bets on sports events." Galileo is "only for Europeans for now -- Centaur can't offer it in the U.S. without the blessing of the Securities and Exchange Commission." Centaur Managing Dir Tony Woodhams said that the company "would apply for that approval next year." Centaur, which will have "25 traders working on its London trading floor," claims to have a "proprietary number-crunching system that can make sports bets with far better results than the casual bettor." Mavericks Owner Mark Cuban in an e-mail said, "If they fully commit to a data-driven model, I think they can do well. In many respects, stocks are the bigger gamble." But BBR Partners Dir of Investment Management Brett Barth said that the "sports-betting angle alone would keep him away from Galileo" (L.A. TIMES, 4/17).