Yusko Out At Endowment Fund

Jan 23 2013 | 10:38am ET

Morgan Creek Capital Management founder Mark Yusko has left the fund of hedge funds joint-venture he set up a decade ago.

Yusko quit as chief investment officer of the $3.5 billion Endowment Fund due to differences with Salient Partners, which handles Endowment's marketing, he said in a letter to Morgan Creek clients. His exit comes just a few months after Endowment gated returns following more than $1 billion in redemptions last year. Those restrictions will be lifted on March 31.

"After nearly a decade of working with our venture partner in Texas, we found ourselves differing on material aspects of how to best run an Endowment portfolio and run the business, so we decided that a change was appropriate," Yusko wrote.

Yusko set up the Endowment Fund with Salient in 2003, while he was still leading the University of North Carolina at Chapel Hill's endowment. The fund invests with some of the most prominent hedge funds in the industry.

In its own letter to investors, Endowment Advisers wrote that "a meaningful number of investors in the fund have lost confidence in Mr. Yusko's ability to deliver results consistent with expectations and we believe that a change is warranted." Endowment said that the fund has suffered disappointing returns recently.

Salient CIO Lee Patridge, a former deputy CIO of the Teachers Retirement System of Texas, was named Endowment Fund's new investment chief.


In Depth

Bob Doll's Ten Market Predictions For 2016

Jan 7 2016 | 9:37pm ET

Well-known market strategist Robert Doll has published his annual list of ten predictions...

Lifestyle

Citadel's Ken Griffin Donates $40M To New York's Museum of Modern Art

Dec 22 2015 | 9:23pm ET

Citadel founder Ken Griffin has donated $40 million to New York’s Museum of Modern...

Guest Contributor

Hedge Fund Marketing - Making the Most of Your Salesperson

Jan 20 2016 | 8:11pm ET

In this contributed article, Bruce Frumerman of Frumerman & Nemeth takes a close...