Wednesday, 1 October 2014
Last updated 18 sec ago
May 19 2011 | 1:45pm ET
Daniel Zwirn won't be fooled again. Three years after shuttering his D.B. Zwirn & Co. as investors fled in the wake of an accounting scandal, the hedge fund manager is back with a new fund that won't be subject to the slings and arrows of outrageous redemptions.
Zwirn and private equity honcho Alan Gordon of Richland Gordon & Co. have gone into business together, founding p.e. shop Alda Capital in Chicago, Bloomberg News reports. That firm owns Alda Capital Management, the investment adviser for a new closed-end fund that will be co-managed by Zwirn.
The fund will employ a strategy similar to the late D.B. Zwirn Special Opportunities Fund, lending to small- and mid-cap companies, Alda Capital said in a regulatory filing.
Zwirn, who once managed $4 billion, will have to make due with a much more modest sum this time around: Alda plans to raise about $50 million for the lending fund.
Zwirn pulled the plug on his hedge fund in 2008, after investors sought to withdraw half of their assets following the revelation of accounting irregularities. Zwirn himself was cleared of any wrongdoing, but former CFO Perry Gruss was charged by the Securities and Exchange Commission with misappropriating $870 million in client capital between 2004 and 2006.
Gruss denies the charges, saying he is being made a scapegoat for Zwirn.
Zwirn sought to launch a successor to D.B. Zwirn, called ZLC Global Investments, following the former firm's collapse, but the effort went nowhere.
Gordon will serve as chairman and CEO of Alda Capital Management, while he and Zwirn are co-managers of its parent firm, Alda Capital, founded last year. The two men and Lori Wittman serve as the new fund's investment committee, screening and approving investments.
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…
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…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...