Baltic, London Hedge Funds Halt Redemptions

Nov 5 2008 | 12:21pm ET

The rash of hedge funds halting redemptions continues as global markets spiral down with two more freezing their assets.

GILD Arbitrage, the first registered Baltic hedge fund, will halt redemptions and subscriptions until May 5, citing “market turbulence.'”
 
The fund, managed by the Tallinn, Estonia-based investment bank GILD Bankers, took the step because of “the risk of treating some investors unfairly” and because it didn't want “to act too hastily in realizing the potential of our fund investments,” Bloomberg News reports, citing Tonno Vaehk, who oversees the fund, in an e- mailed statement.

The fund, which focuses on arbitrage, has 300 investors and total assets of about US$127 million.

Elsewhere, Autonomy Capital Research, a US$1.7 billion hedge fund run by former Lehman Brothers Holdings trader Robert Gibbins, halted withdrawals from its flagship global macro fund after losses this year.

The US$1.2 billion Autonomy Capital Fund dropped 40% this year through October, according to a Nov. 3 letter sent to investors. “Redemptions at this time could be materially adverse to the best interests of the fund,” wrote Gibbins.

Most of the pending redemption requests will be paid in the second quarter of 2009, Autonomy said. The firm will present a restructuring plan in the coming weeks.


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