Tuesday, 28 July 2015
Last updated 17 hours ago
Sep 22 2008 | 9:56am ET
Andrew Lahde’s hedge funds have known nothing but success, but even the man who has regularly produced triple- and quadruple-digit returns for his investors is spooked by the Wall Street turmoil.
Lahde Capital told investors last week that it was shuttering its 10-month-old Short Credit Fund because the dangers of a bank collapse are too high. The fund’s strategy focused on betting against the debt of banks and broker/dealers.
“While we concede there are additional opportunities in this episode of crisis and uncertainty, we have concluded that those opportunities are far outweighed by the risks attendant in the use of the over-the-counter derivative market,” he wrote.
The Short Credit fund is the second to be closed by Lahde this year. In March, he shuttered his six-month-old commercial real estate fund, which had returned more than 200%. Short Credit did not perform quite as well, but still made investors a tidy 40% through August, according to the Financial Times. Earlier Lahde funds have returned more than 1,000%.
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…