Two Sigma Debuts Hedge Fund to Capitalize on ‘Tax Aware’ Boom

Two Sigma Investments launched a hedge fund that jumps on one of the hottest trends in wealth management: minimizing taxes.

The quantitative firm debuted Two Sigma Beacon Fund this year, a so-called tax-aware long-short fund, according to people familiar with the matter, who asked not to be identified discussing private information. Such funds aim to lower levies by holding winners for longer and harvesting losses.