Thursday, 18 December 2014
Last updated 11 hours ago
Jul 9 2010 | 1:23pm ET
Are investors abandoning Paulson & Co.? Some are, but some investors are surprised there aren’t more.
The New York-based hedge fund paid out about $2 billion in redemptions at the end of June, AR magazine reports. The firm, which has been buffeted by poor performance in the second quarter and been dragged into the Securities and Exchange Commission’s fraud lawsuit against Goldman Sachs—although Paulson has not been charged with any wrongdoing—now manages $30.9 billion.
The firm had managed $33.1 billion at the end of the first quarter. In addition to the redemptions, Paulson’s flagship Advantage hedge funds lost 8.8% and 5.8% in the first half, while its Recovery and gold funds are up 9% and 13%, respectively.
The losses and redemptions are among the first missteps for a firm that burst on the scene in 2007 with triple-digit returns betting against the subprime mortgage market. Paulson has continued to post big returns, but the muted response to the rough stretch surprised some investors.
“The redemptions are lower than I would have personally expected,” one fund of hedge funds that invests with Paulson told AR.
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.