London-based hedge fund GLG Partners has launched a new distressed fund, according to a report in the Financial Times.

The fund, which will invest in the debt of troubled UK and European companies focussing on tradeable, liquid securities and avoiding drawn-out restructurings, will be managed by Galia Velimukhametova, the former European head of US hedge fund King Street Capital, the paper said.

The Financial Times adds that GLG’s new fund began trading earlier this month having previously been run as part of its existing credit and market neutral funds since July last year and already manages USD300m of clients’ money.