Reuters - Video

EDITION: U.S. | U.K. | IN

Business

GAIM 2013: Perkins' fund betting big on nat gas price swings

Wednesday, Jan 23, 2013 - 04:10

Jan 23 - Natural gas prices may be low, but former energy trader turned hedge fund manager Bill Perkins of Skylar Capital Management is making big bets on volatility swings in nat gas.

▲ Hide Transcript

View Transcript

Hedge fund manager bill Perkins has found a way to make money out. Natural gas and other areas of energy space he's chief investment officer. After Skyler capital enjoys the game conference in Florida good to see you see. Now it's interesting you have a -- background and you brought your expertise as a trader. Into new space how has that helped you in your current. Well I've been involved in natural gas since 2002%. Source energy and in part that other trading firms. Natural gas as -- fast rapid. Moving commodity as multiple trends and that suits -- very well we're very adept at figuring out what trends are moving quickly we're heading into research. So using those -- towards skills we've learned mean prior. Prior trading analysis. Using a fundamental analysis to figure out what's gonna happen natural gas is in the great fit for energy commodity. Now -- cast is actually the best performing commodity in neon. Commodity index last year which is suggesting that the price you know looks low compared to what that gas used to trade up and you're benefiting from price swing. Correct whether it's for -- or or going down where the prophet. On either side. Provided that we're right right we did our homework we got analysis rate we basically make money. Awful volatile swings. Identifying trends before that happening but on this. In terms of this year which you expect that gas to perform the same way it did last year. Every year's different. You know that's that's the hundred million dollar question billion dollar question is is how natural gas reform. We have a couple dynamics that are moving and changing right now it's whether supply will continue to grow. Or or or taper off is as demanded induce. Based on these low prices and are -- other friends. In demand or supply that may overtake. The current level fundamentals and be the primary driver prices. Are you still raising money right now yes we -- okay so how big do you want to grow. Right now our target. A UN is around 700 million dollars we feel that's a good numbers for our target returns. Two to start out -- And in terms of -- your client base what is attracting people to your strategy. That narrow focus strategy which generally. It it seems that people were specialist in the field generally have a greater grasp of the fundamentals. So when things are changing rapidly or it is -- underlying shifts such as shale gas or the the inducement of demand the knicks player whether it be natural gas or actual will have an edge over the rest of the players. That's where we see currencies. You make and the comments by the international agency couple months ago talking again about. US skating -- energy independence. I see that there are trends that that would be true I don't I'm not as much involved in the wheel side of it but essentially be. The great job by the producers in terms of lowering the cost structure that technology basically moving natural gas from me. Guessing where it is game to a manufacturing process has has made that a possibility. It's the risk for you and your funds this year price swings or is it. -- -- -- -- Ultimately the risk for the fund is is determined by the -- out the risk alligator too. Ultimately the risk allies with the -- not what the market. And that risk uses do you get it wrong there are. Large price was based on whether there are some some random events but basically he will. Well positioned for you and well managed firm will will make it does this -- Perkins to talk you thank you -- that -- some months. I'm Rhonda -- this is writers.

GAIM 2013: Perkins' fund betting big on nat gas price swings

Wednesday, Jan 23, 2013 - 04:10

Top News »

Money »

S&P falls back from record high S&P falls back from record high

Fri, Aug 22, 2014 - (1:35)

S&P 500 closes at new high S&P 500 closes at new high

Thu, Aug 21, 2014 - (1:24)

S&P 500 just shy of record S&P 500 just shy of record

Wed, Aug 20, 2014 - (2:23)

Apple hits $100 a share Apple hits $100 a share

Tue, Aug 19, 2014 - (2:06)

Nasdaq closes at 14-year high Nasdaq closes at 14-year high

Mon, Aug 18, 2014 - (2:23)

Putin puts Wall Street in buying mood Putin puts Wall Street in buying mood

Thu, Aug 14, 2014 - (2:10)

We've become a promotional culture-RetailMeNot's Bodge We've become a promotional...

Thu, Aug 14, 2014 - (4:39)

Dow back to positive territory for year Dow back to positive territory for year

Wed, Aug 13, 2014 - (2:18)

Markets cheer Russia's Ukraine exit Markets cheer Russia's Ukraine exit

Fri, Aug 08, 2014 - (1:50)

Russia, Iraq push Dow to three-month low Russia, Iraq push Dow to three-month low

Thu, Aug 07, 2014 - (2:27)

Wall Street gains but telecom disconnected Wall Street gains but telecom disconnected

Wed, Aug 06, 2014 - (2:28)

The Exchange »

The Exchange: Hot commodity The Exchange: Hot commodity

Wed, Jul 16, 2014 - (9:25)

The Exchange: Constitutional crusade The Exchange: Constitutional crusade

Wed, Jun 25, 2014 - (11:35)

The Exchange: The value of money The Exchange: The value of money

Mon, Jun 02, 2014 - (9:53)

The Exchange: China’s Second Continent The Exchange: China’s Second Continent

Tue, May 27, 2014 - (9:35)

The Exchange: A master of business arts The Exchange: A master of business arts

Thu, May 08, 2014 - (8:24)

The Exchange: America's bankrupt cities The Exchange: America's bankrupt cities

Mon, May 05, 2014 - (8:52)

The Exchange: Let the rocking commence The Exchange: Let the rocking commence

Tue, Apr 08, 2014 - (8:13)

The Exchange: The Moneyball fallacies The Exchange: The Moneyball fallacies

Mon, Mar 24, 2014 - (9:54)

Is doing good a good business? Is doing good a good business?

Mon, Mar 17, 2014 - (7:38)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, Feb 19, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, Jan 10, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, Aug 29, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, Aug 29, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, Aug 05, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, Dec 17, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sat, Dec 08, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Sun, Dec 09, 2012 - (10:39)

Moving Pictures »

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, Aug 11, 2014 - (2:27)

Burned memories Burned memories

Fri, Aug 08, 2014 - (3:02)

Images of July Images of July

Thu, Jul 31, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, Jul 11, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Wed, Jul 02, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, Jun 20, 2014 - (3:04)

World Cup: Around the globe in 50 goals World Cup: Around the globe in 50 goals

Fri, Jun 06, 2014 - (1:08)

VIVID – Sydney’s spectacle of light VIVID – Sydney’s spectacle of light

Fri, May 30, 2014 - (1:37)

The week that changed Boston The week that changed Boston

Mon, Apr 14, 2014 - (3:28)