Ex-Minister Launches Russian Fund –

UFG Asset Management, which spun out of Russian bank United Financial Group when the latter was acquired by Deutsche Bank, has launched a $250 million fund aimed at investing in private equity funds in the U.S. as well as making direct investments. The fund is headed by Boris Fyodorov, a former Russian finance minister. He told the Moscow Times: “We’re looking at companies below the radar screen of major Western private equity investors and below the radar of the state and Russian oligarchs.”

The new vehicle will target companies with no government ties worth between $10 million and $100 million. UFG Asset Management is expecting target companies that can triple in value over the next five years, particularly in retail, where turnover is estimated to reach $558 billion in 2010.

So far, $35 million has been raised from 30 investors, including a handful of U.S. citizens and two investments have been made.