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

Star Fund Managers Battered By Rocky Ride In Yields, Currencies

May 28 2015 | 6:05am ET

Some of the biggest names in the investment world have been whipsawed by the recent...

Lifestyle

Yale Receives $150 Million Gift from Blackstone’s Schwarzman

May 12 2015 | 12:10am ET

Yale University announced it has received a $150 million gift from Blackstone Group...

Guest Contributor

When Less is More: The Case for Concentrated Equity Strategies

Jun 1 2015 | 7:59am ET

The conventional wisdom is that wide diversification is the “holy grail,” as...

 

Sponsored Content

Editor's Note