Ex-Lehman Trader Launches Hedge Fund

Jun 20 2008 | 9:54am ET

A former Lehman Brothers trader’s new hedge fund is helping out his old firm.

Rick Rieder left Lehman last month to found R3 Capital Partners in New York. Lehman invested in the new debt strategies fund, and R3 returned the favor by taking some of Lehman’s positions off its hands (and balance sheet).

R3 has bought $5 billion in assets from Lehman, mostly corporate bonds and loans, but also distressed debt and aviation assets. The fund will focus on buying similar assets in the marketplace, according to Rieder, who ran Lehman’s global principal strategies group, focusing on credit arbitrage, aviation finance and private equity.

Among the $5 billion in assets Lehman offloaded on R3 were about $100 million of “Level 3” assets, the hardest to value.


In Depth

JOBS Act Propels Real-Estate Crowdfunding Platform

Oct 21 2014 | 2:57am ET

If D.J. Paul were a real estate development, he would be described as “multi-use...

Lifestyle

MacDonald-Korth Offers Insights Into Paintings Bought, Sold By Hedgies

Oct 7 2014 | 9:00am ET

Definitive and complete ratings require an in-person examination of an artwork,...

Guest Contributor

PAAMCO: European Equity Exposure - Challenging Year, But All is Not Lost

Oct 16 2014 | 4:12am ET

European equity hedge fund managers have had a tough time so far this year. The...

 

Videos

Editor's Note

    Must Attend Hedge Fund Charity Events For October

    Sep 30 2014 | 9:29am ET

    The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…

 

Futures Magazine

October 2014 Cover

Deeply flawed risk benchmark

Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...

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.