Amaranth Founder Sets Up New Hedge Fund

May 12 2008 | 10:10am ET

Nineteen months after his Amaranth Advisors collapsed under more than $6 billion in losses, Nicholas Maounis is back.

The Amaranth founder is readying his new venture, Verition Fund Management, later this year. The new multi-strategy shop will debut with more than $200 million, according to Bloomberg News.

Maounis is offering something of an olive branch to his former Amaranth clients, who saw more than two-thirds of the once-$9.5 billion multi-strategy shop’s assets disappear when natural gas trades made by trader Brian Hunter went bad to the tune of $6.6 billion in losses. Investors who still had money with Amaranth when it went under in September 2006 will pay no incentive fees for three years, Bloomberg reports. In addition, the fund will charge no management fees, although all investors will share in paying the fund’s expenses.

“Many of you have inquired as to my future plans,” Maounis wrote to former Amaranth clients on Friday. “I welcome the opportunity to speak with you personally about my new venture.”

Greenwich, Conn.-based Verition will debut with three strategies. It will have quantitative and fixed-income components, as well as a special situations strategy focusing on event-driven convertible bond trades.


In Depth

Part II: Roubini Talks Risk, Recovery And The Threat Of A Triple Dip Recession

Oct 21 2014 | 12:41pm ET

In the second half of our interview with Nouriel Roubini, FINalternatives editor...

Lifestyle

Balyasny Pays Over $6M For Lakefront House

Oct 22 2014 | 10:29am ET

A venture headed by hedge fund manager Dmitry Balyasny just paid $6.2 million for...

Guest Contributor

Hedge Funds Weather A Data Management Perfect Storm

Oct 22 2014 | 12:28pm ET

From a regulatory standpoint, nearly every development since the crisis has placed...

 

Videos

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

October 2014 Cover

Demeter: Family affair

David and James Hamman launched their fundamental Livestock and Grains Program in March of 2010 but it really was decades in the making.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.