HS Group is an independent, institutional investment firm specializing in providing long-term capital and strategic guidance to alternative asset management firms. Established in May 2013 and headquartered in Hong Kong, the firm is co-founded by Michael Garrow and Johannes Kaps. Both founders have extensive backgrounds in the financial industry, with formative experiences at Brown University and Morgan Stanley, followed by senior roles in Asia's hedge fund sector at Blackstone and Goldman Sachs, respectively. HS Group operates under governance principles emphasizing integrity, alignment, and fiduciary responsibility, aiming to sustain investment excellence through passionate commitment and rigorous processes.
As of December 31, 2024, HS Group manages and advises approximately $2.3 billion in assets under management and commitments across three private equity structured funds:
- HS Group Sponsor Fund I (Fund I): Launched in September 2014.
- HS Group Sponsor Fund II (Fund II): Launched in June 2018.
- HS Group Sponsor Fund III (Fund III): Launched in October 2024.
These funds have made investments in portfolio companies across Asia, Europe, and the United States. The firm's clientele predominantly comprises institutional investors, including endowments, foundations, pension plan sponsors, sovereign wealth funds, and other long-term capital allocators. HS Group (Hong Kong) Limited is licensed by the Securities and Futures Commission of Hong Kong (CE number BBQ417) for Asset Management and files as an Exempt Reporting Advisor with the U.S. Securities and Exchange Commission. Additionally, it is licensed as a non-EU Alternative Investment Fund Manager with the U.K. Financial Conduct Authority.
HS Group's strategic focus centers on providing seed capital and strategic support to emerging alternative asset managers, particularly in the Asian market. The firm specializes in identifying and partnering with promising hedge fund managers, offering not only financial backing but also operational and strategic guidance to foster growth and institutionalization. By leveraging its deep industry expertise and extensive network, HS Group aims to cultivate a diversified portfolio of alternative investment strategies, thereby delivering superior returns to its investors.
HS Group's financial strategy involves raising capital through its series of Sponsor Funds, which are then allocated to selected portfolio companies. The firm has successfully launched three funds to date, with the most recent, Fund III, initiated in October 2024. The capital raised is strategically deployed to support the growth and development of emerging alternative asset managers, with a focus on enhancing their operational capabilities and market reach. This approach not only provides financial returns but also strengthens the firm's position in the alternative investment landscape.
As of December 31, 2024, HS Group's portfolio comprises 12 companies managing approximately $7.5 billion in assets across 20 strategies. Notable investments include:
- Pleiad Investment Advisors: Established in September 2014, based in Hong Kong and Tokyo, offering strategies such as Pan Asia Equity Long/Short and Japan Growth-Stage Private Equity.
- Zentific Investment Management: Founded in July 2015 in Hong Kong, specializing in Asia Systematic Equity Market Neutral strategies.
- Zaaba Capital: Launched in February 2016 in Hong Kong, focusing on Pan Asia Equity & Credit Long/Short strategies.
- Ishana Capital: Started in September 2017 in Hong Kong, offering Asia ex-Japan Equity Long/Short strategies.
- Yunqi Path Capital: Established in September 2018 in Shenzhen and Hong Kong, concentrating on China Equity Long/Short strategies.
- Panview Capital: Initiated in January 2020 in Hong Kong, focusing on Pan Asia Equity Long/Short strategies.
- High Ground Investment Management: Founded in October 2019 in London, UK, specializing in European Equity Long/Short strategies.
- Immensus Capital: Started in May 2016 in Shenzhen and Hong Kong, managing China Growth Private Equity Funds.
- Mercator Partners: Launched in April 2019 in New Jersey, US, focusing on Decarbonization Equity Long/Short strategies.
- Stillpoint Investments: Established in May 2022 in New York, US, offering China Equity Long/Short strategies.
- Aregence Capital: Initiated in April 2022 in Singapore, concentrating on India and Southeast Asia Focused Equity Long/Short strategies.
- Sengu Capital: Founded in October 2024 in Hong Kong and Tokyo, specializing in Japan Equity Long/Short strategies.
These investments reflect HS Group's commitment to supporting a diverse range of alternative investment strategies across multiple regions.
HS Group distinguishes itself through its proprietary approach to seeding and supporting alternative asset managers. The firm's methodology involves not only providing capital but also delivering comprehensive strategic and operational support to its portfolio companies. This includes assistance with business development, risk management, compliance, and investor relations. By fostering close partnerships with emerging managers, HS Group enhances their potential for success and scalability. Additionally, the firm's deep understanding of the Asian market and its regulatory landscape positions it as a valuable partner for managers seeking to navigate this complex environment.
HS Group's leadership team comprises seasoned professionals with extensive experience in the financial and investment sectors:
- Michael Garrow: Co-founder and Chief Investment Officer, responsible for the firm's investment management activities. Prior to HS Group, he led Blackstone's Asian alternative fund program.
- Johannes Kaps: Co-founder and Chief Executive Officer, overseeing the firm's business and advisory services. Previously, he was a Managing Director at Goldman Sachs in the Global Securities Services sales team for Asia Pacific.
- Anna Klavins: Chief Operating Officer, responsible for legal, compliance, and business operations. Formerly a Managing Director at UBS, overseeing prime brokerage sales in Asia Pacific.
- Patrick Gorta: Chief Financial Officer, managing accounting, finance, tax, and operations. He has over 19 years of experience in finance, primarily in Asia.
- Jonathan Ng: Partner, focusing on business development and investor relations. Previously a Senior Investment Associate at Cambridge Associates in Singapore.
- Aayesha Ghanekar: Partner, involved in identifying and diligencing new manager investments and co-investment opportunities. Formerly with Bain & Company as a Senior Associate Consultant.
- Richard Gadbois: Director and Chairman of the Board, with extensive experience in investment and advisory roles across various firms.
- Jonathan Garfinkel: Director, also a Partner at TPG, involved in the firm's climate impact investing business.
This leadership team brings a wealth of experience and expertise, contributing to HS Group's strategic direction and operational excellence.
As of the latest available information, there have been no recent significant changes or appointments within HS Group's leadership team. The existing leadership continues to guide the firm's strategic initiatives and operations.
The alternative investment industry is characterized by a dynamic and competitive landscape, with numerous firms vying for capital and market share. HS Group operates within this environment by focusing on providing seed capital and strategic support to emerging managers, particularly in the Asian market. The firm's emphasis on integrity, alignment, and fiduciary responsibility resonates with institutional investors seeking trustworthy partners. Additionally, HS Group's deep understanding of the Asian regulatory and market landscape provides a competitive edge in identifying and nurturing promising investment opportunities.
HS Group's primary competitors include other firms that provide seed capital and strategic support to alternative asset managers. While specific competitors are not detailed in the available information, the firm's unique focus on the Asian market and its comprehensive support model distinguish it within the industry. By offering both capital and operational guidance, HS Group positions itself as a valuable partner for emerging managers seeking to establish and grow their presence in the alternative investment space.
HS Group has established strategic collaborations and partnerships to enhance its market position and capabilities. Notably, the firm maintains a strategic partnership with TPG Holdings, which provides additional resources and expertise to support HS Group's initiatives. This partnership underscores the firm's commitment to leveraging collaborative relationships to drive growth and innovation within the alternative investment sector.
In the competitive landscape of alternative investments, HS Group differentiates itself through its dual approach of providing capital and comprehensive strategic support to emerging managers. This model not only facilitates the growth of
