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

Related-Company Fees: Normal Industry Practice or Conflicted Compensation?

Nov 11 2015 | 4:23pm ET

Regulatory agencies as well as investors are increasingly exploring whether certain...


Ferrari Roars in Wall Street Debut

Oct 21 2015 | 4:28pm ET

Shares of supercar maker Ferrari jumped as much as 15 percent to a high of nearly...

Guest Contributor

Private Debt - What is the Opportunity?

Nov 11 2015 | 3:28pm ET

In this contributed article, Rob Allard, founding partner of Firebreak Capital...


Editor's Note

    Oct 21 2015 | 10:41am ET

    One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…