Tuesday, 2 September 2014
Last updated 3 hours ago
Jun 6 2013 | 10:19am ET
SAC Capital Advisors is reassuring its employees that it will not return all outside capital in the wake of what are thought to be billions in redemption requests.
The $15 billion hedge fund's president, Tom Conheeney, told employees it would remain a hedge fund and not become a family office. He also said that it would not publicly release the total redemptions, which are thought to have all-but-wiped out SAC's remaining outside capital, about $4 billion. Conheeney simply said the redemptions were "significant."
Conheeney added that the Stamford, Conn.-based firm does not plan significant job cuts in the wake of the redemptions, which come amidst an insider-trading investigation.
Conheeney wrote that some institutional investors who filed redemption requests said they may revoke them if the firm's legal situation is clarified. Prosecutors face a July deadline to file charges against the firm unless it plans to classify SAC as a criminal organization under federal racketeering laws.
SAC still has about $9 billion from founder Steven Cohen and the firm's employees. Conheeney noted that if SAC ends 2013 near its 2009 asset level, it would still be a good-sized hedge fund. And SAC's reinsurance company would continue to provide permanent capital, and several investors have sought to add money to the firm, Bloomberg reports.
Still, the cloud hovering over SAC is taking its toll. Some firm employees are seeking new jobs, and Cohen has cut back on his own trading.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...