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 »

Investing 201 »

Arian Foster = BlackBerry? Arian Foster = BlackBerry?

Fri, Oct 25, 2013 - (3:16)

Don’t miss these red flags for IPOs Don’t miss these red flags for IPOs

Thu, Oct 10, 2013 - (2:34)

Copycat currency trading Copycat currency trading

Wed, Oct 02, 2013 - (2:28)

When to dump a winner When to dump a winner

Tue, Sep 24, 2013 - (1:55)

Where gold might again attract Jim Rogers Where gold might again attract Jim Rogers

Thu, Sep 19, 2013 - (2:05)

Why savings interest rates won't budge Why savings interest rates won't budge

Fri, Sep 13, 2013 - (2:09)

Buy local? ETFs try the trend Buy local? ETFs try the trend

Thu, Sep 05, 2013 - (2:42)

The better bond funds The better bond funds

Wed, Aug 07, 2013 - (2:40)

Best bargain in 40 years? European stocks Best bargain in 40 years? European stocks

Thu, Aug 01, 2013 - (2:24)

Invest like an activist Invest like an activist

Fri, Jul 26, 2013 - (2:49)

Money Clip »

3 things to do before disaster strikes 3 things to do before disaster strikes

Wed, Sep 18, 2013 - (1:39)

Your must-do money list Your must-do money list

Wed, Sep 11, 2013 - (1:24)

The worst "best" financial advice The worst "best" financial advice

Wed, Sep 04, 2013 - (1:42)

Forget gold: The case for REITs Forget gold: The case for REITs

Fri, Apr 26, 2013 - (1:19)

3 rules for buying a house now 3 rules for buying a house now

Thu, Apr 18, 2013 - (1:39)

“Stalking” your dream home - Money Clip “Stalking” your dream home - Money Clip

Wed, Mar 27, 2013 - (2:50)

3 hidden tax deductions - Money Clip 3 hidden tax deductions - Money Clip

Thu, Mar 21, 2013 - (1:33)

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 »

Still missing – MH370 Still missing – MH370

Fri, Sep 05, 2014 - (2:05)

Images of August Images of August

Fri, Aug 29, 2014 - (1:00)

Burning Together Burning Together

Mon, Sep 01, 2014 - (2:23)

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, Aug 22, 2014 - (3:12)

"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)