As institutional investors begin to return to hedge funds in full force, Highbridge Capital Management promoted its chief operating officer to president.
Todd Builione takes the reins as Highbridge, which is owned by JPMorgan Chase and which manages $25 billion, seeks to attract more institutional investors. "People have been talking since the crisis about the next wave of institutional money coming to hedge funds but it hadn't actually happened. Now, it's happening," he told the Financial Times.
"Clients expect institutional-quality business management, governance frameworks with checks and balances, a legal and compliance infrastructure, in addition to top-tier performance," Builione explained. But he made clear that Highbridge wouldn't take institutionalization too far.
"You cannot turn Highbridge into a big process-oriented investment bank," he told the FT. "That's a recipe for disaster."
Builione, Highbridge's second-in-command after co-founder Glenn Dubin, oversees the firm's day-to-day operations. Prior to joining the hedge fund, he was a member of Goldman Sachs' financial institutions group.