Brevan Mulls Currency Fund's Future After Cutting Lead Trader

Jun 13 2013 | 11:16am ET

Brevan Howard Asset Management is parting ways with its top currency manager and may close his US$570 million fund.

Luke Ding will leave Brevan Howard as part of the firm's biannual review. His Macro FX Fund, which managed about US$1 billion last year, has struggled to post consistent returns, with annualized gains of just 1.4% since its debut four years ago. The fund is up about 1.6% this year, but lost 2.3% last year.

Brevan Howard is still mulling the fund's future. Following Ding's exit, it still have four traders; those traders could be laid off or reassigned internally, although Reuters reports that two or three of them will leave the firm. Brevan Howard plans to speak with the Macro FX Fund's investors before deciding whether to pull the plug on it.

About seven other traders at Brevan Howard are set to leave the firm as part of the review, during which the firm seeks to jettison underperforming managers. Brevan Howard has about 80 traders on staff.

Ding joined Brevan Howard in 2007 and spent his first two years trading for its flagship fund. Prior to joining the hedge fund, he was a currency trader at Merrill Lynch.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

Often seen as a passion project, or part of a philanthropic venture, rare and fine stringed instruments offer an exciting option to diversify one’s investment portfolio while providing an opportunity for an exceptional long-term investment.