Corriente To Close Flagship Fund

Dec 3 2012 | 11:31am ET

Fort Worth, Texas' standing as a hedge fund center has taken a major hit with the announced closures of two of its industry denizens.

While the full closure of $4.2 billion shop Kleinheinz Capital Partners is getting all of the headlines, the north Texas city is also losing Corriente Advisors' flagship hedge fund. The fund has suffered from "extremely poor and disappointing performance," Bloomberg News reports.

Firm founder Mark Hart, in a letter to clients this month, blamed government intervention for the lack of volatility for the slide, although he also acknowledged "taking a far too bearish stance of risk assets in general and on the sovereign debt crises in Europe and the economic situation in China."

The Corriente fund enjoyed 10% annualized returns since its inception, including a sixfold return betting against subprime mortgages during the financial crisis. But returns have suffered since 2009.

Corriente will continue to manage its China and Europe hedge funds.

More than 400 hedge funds closed their doors in the first half, a 14% increase from a year earlier, Hedge Fund Research reports. This year has seen the closures of Avesta Capital Advisors, Bell Point Capital Management, Boyer Allan Investment Management, Brencourt Advisors, Cadogan Management, Camargue Capital Management, Centaurus Capital, Edoma Capital, Grant Capital Partners, John W. Henry & Co., Kingsbrook Capital, Lasair Capital, Libra Advisors, Millbrook Capital Management, Novaterra Capital, Octavian Advisors, OMG Capital, Orvent Asset Management, Pivotal Investments, Ridley Park Capital, Sequence Asset Management, Sharp Peak Capital Management, Thaddeus Capital Management, Tell Investments, Tiger Asia Management, Voras Capital Management and Weintraub Capital Management.

In Depth

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


U.S. Trust's Beard: The Rapid Growth of the Art Lending Industry

Oct 7 2016 | 10:55pm ET

Alternative investment managers have emerged as some of the most significant art...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...