New York City billionaire Chase Coleman likes a little give and take.
After giving back $2 billion to investors in his Tiger Global hedge fund at the end of last year, he’s now trying to raise almost that much for a fund launching Oct. 1.
The new Tiger Global fund will invest only in stocks on the long side, according to a Sept. 5 letter to investors obtained by The Post, and thus is not a hedge fund.
Coleman, 38 — a descendant of Peter Stuyvesant, the last Dutch governor of New York — expects to start with between $1 billion and $1.5 billion. He will run the fund along with portfolio managers Feroz Dewan and Scott Shleifer.
Last year, Tiger Global’s hedge fund had about $8 billion in assets and was up 23 percent midyear. But Coleman decided to give money back at year-end because of the difficulty of finding good investments.
Even though Coleman started 2013 with only $6 billion, the smaller size didn’t help the protege of famed investor Julian Robertson.
Coleman is known for his deft short-selling, but the market’s relentless rise most of this year meant that shorts dragged down the portfolio, investors said. His hedge fund is up only 4 percent for the year, after a 1 percent gain in August, compared with a year to date gain of the S&P 500 of 17.2 percent.
Tiger Global is best known for investing in such big tech IPOs as Facebook, Groupon and LinkedIn, along with stalwarts Apple and Amazon. Its tech gains helped turn Coleman into a young hedge-fund star, with a 45 percent gain in 2011, followed by a 23 percent return last year.
He sold out of LinkedIn last year and had ditched Apple — once his largest holding — completely by June 30. On Aug. 15, he reported slashing his Groupon stake.
Tiger’s hedge-fund longs gained an annualized 18 percent since 2001, net of fees, compared with a 4 percent gain for the S&P 500 during the same time period, according to the investor letter.
The new fund will force investors to lock up their money for three to five years. Its fee structure is better than a hedge fund, but not by a lot. The management fee is 1.25 percent, less than the traditional 2 percent. Tiger will take the customary 20 percent performance fee, but only once it hits a 5 percent hurdle rate.