Sunday, 23 November 2014
Last updated 2 days ago
Nov 6 2013 | 2:13pm ET
The hedge fund industry is full of Tiger cubs that have survived and thrived, but Axial Capital Management is not among them.
The hedge fund, founded by a pair of Bear Stearns bankers in 2002 and seeded by Tiger Management founder Julian Robertson, is closing its doors. Axial, a short-biased fund, has lost money in three out of the past four years, and is down 15.4% this year, CNBC reports.
It is not clear when the once-$1.8 billion firm will liquidate and return money to investors. Axial managed only $605 million at the end of September, down nearly $300 million from the beginning of the year.
Axial, founded by Marc Anderson and Eliav Assouline, had posted positive returns every year from 2003 through 2008. But it, like other short-biased funds, has taken a beating in recent years as stocks rally amidst the tepid global economic recovery.
Earlier this year, the firm sought to staunch its asset losses with the launch of two new funds, which combined managed $53 million at the end of September.
"They are terrific guys and I wish them the very best in the future," Robertson told CNBC.
Nov 4 2014 | 9:45am ET
Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…
Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...