Highbridge Dumps Event-Driven Team

Jan 31 2011 | 3:38pm ET

It was a “difficult” decision, Highbridge CEO Glenn Dubin said during an employee conference call last Thursday, but the New York-based hedge fund firm has decided to let go its entire event-driven team led by Jason Erslaw.

Dubin said the decision was “no reflection” on Erslaw or his team, underlining that Erslaw had done an “extraordinary job,” particularly in 2008/20009. He pointed, however, to the significant amount of “overlap” between the work of the event-driven team and that of the hedge fund’s other teams:

“Our view is...that the that the area of event-driven investing—relative-value investing—folds into many of the other areas that we’re engaged in; fundamental investing, whether it be on the long/short teams’ focus on individual stocks...or some of the event-driven investing that has found its way into the convertible book and the capital structured book...[and] the credit opportunities business...”

Dubin said he felt Erslaw and his team were highly capable and would be “much better served as individuals and professionals to be able to develop that capability at organizations, frankly, that don’t have fundamental long/short investing and don’t have credit opportunities capability like we do.” Dealbreaker.com was first to report the news of the layoffs.

Highbridge Capital CTO Jonathan Zhukovsky will also be leaving the company, with CFO Christopher Hayward assuming both roles. Highbridge, founded by Dubin and Henry Swieca, manages an estimated half of JPMorgan’s $50 billion in hedge fund assets.


In Depth

JOBS Act Propels Real-Estate Crowdfunding Platform

Oct 21 2014 | 2:57am ET

If D.J. Paul were a real estate development, he would be described as “multi-use...

Lifestyle

Strippers Accused Of Robbing Hedge-Fund Manager Face Jail

Oct 20 2014 | 9:20am ET

A group of alleged stripper-thieves—whose victims include a hedge-fund manager...

Guest Contributor

PAAMCO: European Equity Exposure - Challenging Year, But All is Not Lost

Oct 16 2014 | 4:12am ET

European equity hedge fund managers have had a tough time so far this year. The...

 

Videos

Editor's Note

    Must Attend Hedge Fund Charity Events For October

    Sep 30 2014 | 9:29am ET

    The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…

 

Futures Magazine

October 2014 Cover

Deeply flawed risk benchmark

Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.