J.P. Morgan Bullish on Och-Ziff Capital Management

In a research report published earlier today by J.P. Morgan, Och-Ziff Capital Management OZM has strong fund performance, but tepid sales. According to J.P. Morgan, "OZM fund performance remains solid in 2012, following solid returns in 2011 relative to peers. OZM continues to deliver good risk/adjusted returns, which is what it advertises to deliver to its customers. It is up ~5% this year versus the hedge fund peers (as measured by the HFR Global Index) up 3.3%. The Master Fund is fully invested, a vote of confidence in finding good long and short investments. Here we note management's timing of going to/from cash is particularly good, which is currently an indication that good returns should persist." J.P. Morgan maintains its Overweight rating and $13 PT on Och-Ziff Management, which closed yesterday at $8.20.