Commodities Hedge Fund Higgs To Close

Jan 2 2014 | 1:57pm ET

In its last days, 2013 claimed another commodities hedge fund casualty.

Higgs Capital Management joined Clive Capital and Arbalet Capital in announcing its liquidation last year, telling investors on Monday that it would close. The firm, which was founded in early 2012, fell victim to declining investor appetite for commodities hedge funds, which by and large suffered a terrible 2013.

"Over the life of the fund we made money," co-founder Neal Shear, formerly head of global securities at UBS, told Reuters. "Our closing is largely a factor of redemptions that are happening in the commodity market and lack of stability of our capital."

That lack of stability would have forced London-based Higgs to restructure the fund to cut expenses, changes that "would have handicapped our performance going forward which would have been detrimental to existing investors and employees," the firm wrote to clients.

Higgs, which manages about US$250 million and focuses on energy, metals and agriculture, said it would begin an "orderly" wind-down.


In Depth

Kettera Q&A: The Advantages of Alternative Investment Platforms

Oct 28 2016 | 5:52pm ET

The past several years have seen a distinct push towards easier and cheaper access...

Lifestyle

Midtown's Plaza District Fades As Manhattan Office Landscape Shifts

Nov 22 2016 | 6:32pm ET

Lower leasing costs, more efficient office space and the hope of projecting an image...

Guest Contributor

Nowhere to Hide: Why the Future of Asset Management Depends on Innovation

Nov 15 2016 | 6:55pm ET

Information technology has reshaped the asset management industry’s periphery,...

 

From the current issue of

Chicago-based independent futures brokerage and clearing firm R.J. O’Brien & Associates (RJO) has hired industry veteran Daniel Staniford as Executive Director, responsible for the firm’s institutional business development in New York and London.

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR