Wednesday, 22 October 2014
Last updated 11 hours ago
Mar 31 2011 | 3:08am ET
Citadel Investment Group is liquidating a residential mortgage hedge fund in the wake of its manager's exit.
The Chicago-based hedge fund giant is closing the $200 million fund less than a year after it debuted in June, Bloomberg News reports. But some investors, spooked by the March 7 resignation of manager Bill King, told the firm they would redeem their investments, leading Citadel to pull the plug.
The firm, which has $11 billion in assets, may also shutter a $100 million offshore version of King's former fund. The fund is up about 9% since inception.
King, who worked at Citadel for about three years, quit after the firm named Glenn Perillo, a close associate of Citadel founder Kenneth Griffin, co-manager of the mortgage funds. Perillo will continue to manage a $700 million separate account employing the strategy for a sovereign wealth fund.
Griffin and Perillo worked together on Citadel's investment in troubled online brokerage E*Trade Financial Corp.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
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