Collapsed hedge fund Amaranth Advisors has dropped its $350 million lawsuit against Touradji Capital Management.

The Greenwich, Conn.-based firm, which lost more than $6 billion on bad natural gas bets three years ago, said that its continuing investigation has found that the commodities hedge fund shop did not breach its contract with Amaranth to buy the failing hedge fund’s base metals portfolio.

The Bank of America/Merrill Lynch Hedge Fund Generals index up 60% year-to-date (as of mid-November), outperforming the S&P 500 by approximately 40%.

The most pessimistic hedge fund index in the world did not disappoint in October.

A pair of prominent hedge funds is betting big on Citigroup.

Brevan Howard Asset Management, the largest hedge fund manager in Europe, has parted ways with one of its founding partners.

Commodity hedge fund shop Touradji Capital Managament hasn’t lost its taste for gold, but it has restructured its bet on the precious metal.

The $2.7 billion New York-based hedge fund has amassed an US$84.7 million stake in Barrick Gold Corp., Bloomberg News reports.

Mark Campbell, the former head of U.K. hedge fund distribution at JPMorgan Fleming, has lost his battle with cancer.

Future Capital Partners, a £6 billion (US$10 billion) alternative investment boutique, has appointed Andrew Derrington to its business development team.

Tokyo-headquartered Nikko Asset Management has hired Michael Herring to run the firm’s U.S. operations. 

Real estate investment firm evolve Fund Services is readying to launch a £50 million (US$83.6 million) fund aimed at taking advantage of the recovering property market in the UK.

Ralph Cioffi, after his arrestThe U.S. Attorney’s Office in Brooklyn, N.Y., couldn’t win a conviction of two former Bear Stearns hedge fund managers accused of lying to their clients. The Securities and Exchange Commission thinks it can do a better job.

The regulator plans to pursue its civil case against Ralph Cioffi and Matthew Tannin, despite the Tuesday acquittal of both men on fraud charges.

China’s sovereign wealth fund has hired a Tudor Investment Corp. veteran to manage its hedge fund investments.

British authorities have launched a probe into hedge fund Dynamic Decisions Capital Management, whose funds are being liquidated in the Cayman Islands.

John Horseman, one of the most well-regarded hedge fund managers in London, is throwing in the towel amidst big losses this year.

Another top London hedge fund is dipping its toes into the cool, low-tax Alpine waters of Switzerland.

One of the strongest years in hedge fund history may be drawing to a quiet close. The average hedge fund was essentially flat in October, according to the Credit Suisse Index Co.

Lawrence Cohen“How do men act on a sinking ship? Do they hold each other? Do they pass around whiskey? Do they cry?” -- The Perfect Storm by Sebastian Junger (1997)

By Lawrence Cohen, Esq., Director, Gibbons P.C. -- Last month, the SEC brought criminal charges against the founder of Galleon Management L.P., Raj Rajaratnam, and five other individuals for alleged insider trading violations.  The Galleon fund capsized within days.

Two computer programmers who once worked for Bernard Madoff’s firm have been arrested and charged with giving Madoff the technical capacity to run his Ponzi scheme.

The former head of Tisbury Capital Management’s Boston office has founded a long/short equity hedge fund shop.

Activist hedge fund manager Nelson Peltz does not want to dismember Legg Mason, its CEO said.