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

Why Ponzi Schemes Work: An In-Depth Look At The Allen Stanford Fraud

Dec 21 2014 | 10:30am ET

Texan Allen Stanford first appeared on the radars of financial regulators in 1997...

Lifestyle

Hedgie Funds US Squash Program

Dec 24 2014 | 8:46am ET

Squash, anyone?

Guest Contributor

EidoSearch’s Top Three Market Projections For 2015

Dec 23 2014 | 4:03am ET

It is that time of year again when prognosticators make their big market calls for...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

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.