Bankrupt FX Concepts To Sell Intellectual Property

Nov 13 2013 | 9:58am ET

New York-based currency hedge fund FX Concepts has put its intellectual property up for sale in a bankruptcy auction.

The firm, which filed for bankruptcy in October due to poor performance, hopes to raise as much as $2 million on the sale of its quantitative models, historical data and trademark.

Bob Savage, FX Concepts' chief operating officer, told Thomson Reuters that the firm has a potential buyer for its intellectual property—Aktis Capital Advisory, a Hong-Kong based private equity group, which has entered a stalking horse bid of $1 million to $2 million.

The firm will also sell its newsletter business. The sale will take place on November 25.

Founded by John Taylor in 1981, FX Concepts was once the largest currency hedge fund in the world, with peak assets of $14.2 billion in 2007. That figure has dwindled to just $621 million—most of which belongs to the San Francisco Employees' Retirement System, which last month moved to redeem the entire amount.

In announcing the decision to close, vice-chairman Jonathan Clark said:

"Assets at the firm have dropped to levels that can no longer sustain the business. The board has concluded that it is in the best interest of the firm's investors to conduct an orderly wind-down of open positions, close its funds and hand back any remaining mandates to clients."

In Depth

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


Hedge Funds Swarm Into Palm Beach

Oct 27 2016 | 2:32pm ET

As the first flakes of snow fall on New York's northern suburbs, Dan Weil of South...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...