Wednesday, 31 August 2016
Last updated 20 hours ago
Mar 17 2010 | 12:23pm ET
Ebullio Capital Management CEO Lars Steffensen says he always bounces back. If he manages to do so this time, it might set some kind of record.
As reported yesterday, the British commodity hedge fund lost 86% in February. But it had already lost most of its money in January, according to updated figures for that month in last month’s report.
Ebullio, which managed US$42.3 million in November, originally told investors it had lost only 1.1% in January. But the fund actually plummeted 69.65% in the first month of the year. Combined with its February swoon, Ebullio is down 96% in the year’s first two months and has just US$1.47 million left.
“The moment we knew the actual January loss, we brought that up to our investors immediately,” Steffensen told Bloomberg News. In the firm’s February report, Steffensen blamed “extraordinary circumstances” for the extraordinary losses, saying it was forced “to liquidate and/or cancel parts of the physical book and liquidate some long-held speculative positions.”
Ebullio has waived its management fee for the remained of the year.
The monumental losses are certainly new for Ebullio, which debuted in 2008 with US$4 million. The firm soared 92% its first year and returned another 29% last year, before giving it all back and more over the last two months.