Camulos To Liquidate Flagship

Nov 10 2010 | 10:27am ET

The tumultuous ride of Camulos Capital appears to be over. The hedge fund, spun off five years ago from Soros Fund Management, is liquidating its flagship just months after beating back an investor petition to force it to do just that.

In a letter to investors on Oct. 29, founder and CEO Richard Brennan told investors they had begun selling off the liquid positions of the Camulos Master Fund, calling that task a complicated one, AR magazine reports.

Camulos managed a peak of $2.65 billion at the beginning of 2008, the beginning of its endgame. The firm's hedge funds, like most of their peers, lost double digits that year. The losses led the firm to impose redemption restrictions and offer a significant fee cut to investors who agreed to lock up their money for one year. The firm eventually held an auction, run by Credit Suisse, allowing investors to sell their stakes in the hedge fund.

Earlier this year, Camulos was involved in a nasty court battle with founder William Seibold, who left the firm in May 2008 and founded his own hedge fund, Noroton Capital Management, that July. Seibold claimed that Brennan had forced him out of the firm and withheld millions in bonuses and investments Seibold redeemed from the Camulos fund; the hedge fund countered that Seibold did little to earn his keep at the firm.

In March, Camulos beat back an attempt by an aggrieved investor to force the liquidation of its offshore fund. Austrian private bank Kathrein & Co. filed a winding-up petition against the fund in the Cayman Islands after Camulos refused to fill its redemption requests.


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR