Tuesday, 22 July 2014
Last updated 6 hours ago
Aug 13 2007 | 8:54am ET
The losses are accelerating and piling up at Goldman Sachs’ flagship hedge fund, Global Alpha.
The $9 billion hedge fund’s year-to-date losses have more than doubled in the first two weeks of August; it is down some 26% in 2007. The one-time Cadillac of Hedge Funds has shed an eye-popping 40% in just over a year.
Two weeks ago, on July 27, the fund was down just 12%.
Goldman has categorically denied rumors that Global Alpha is in danger of shutting down, though the fund was partly blamed for last week’s plummeting equities markets, as it shed liquid positions to meet redemption requests. And those requests may accelerate in the coming days.
The news of that Global Alpha is a quarter lighter today than on New Years’ Day could not have come at a worse time for the hedge fund: Its clients have until Wednesday to demand their money back on Sept. 30. Investors pulled some $394 million on June 30; they added a mere $142 million.
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…