Friday, 27 March 2015
Last updated 1 hour ago
May 8 2008 | 10:15am ET
In his effort to cut Merrill Lynch’s hedge fund investments, John Thain is bidding farewell to one of his firm’s top traders.
Boris Ehsani is leaving Merrill after the Wall Street giant shelved plans to spin off his principal credit group as an independent hedge fund. Ehsani, who has worked at Merrill for 23 years, will instead go at it alone, setting up his own hedge fund shop with backing from other investors, Bloomberg News reports.
The principal credit group manages more than $2.8 billion and has been among Merrill’s best-performing groups. While Merrill’s overall revenue plummeted 67% last year, principal credit’s revenues soared 62%. The group invests in out-of-favor equities and private companies planning to go public.
As recently as last month, Merrill sales materials indicated that principal credit would create an independent hedge fund in which Merrill would be a significant investor. Merrill was reportedly prepared to seed it with at least $500 million, after developing plans for the fund for more than two years.
Ehsani’s top deputy, Mark Devonshire, also plans to leave Merrill and may join Ehsani’s hedge fund.
Meanwhile, what’s left of the currently 30-strong principal credit group will be merged with a distressed-debt team. The latter group lost its leader, Graham Goldsmith, to hedge fund Strategic Value Partners in February.
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…