Wednesday, 24 August 2016
Last updated 16 hours ago
Nov 12 2008 | 10:35am ET
Toronto-based Lawrence Asset Management has suspended redemptions from its flagship hedge fund, which has lost almost two-thirds of its value this year.
The C$217 million firm has barred withdrawals from the Lawrence Partners Fund for 60 days, the Globe and Mail reports. The fund is down 65% this year, after falling by 48% in September.
Lawrence President Ravi Sood wrote that “it is in the best interests of all shareholders to suspend redemptions for 60 days.”
The fund “was forced to adjust on little notice to more restrictive credit terms in an already problematic market,” Sood explained. A forced asset sale would “severely undermine the potential value that can be realized under less stringent time constraints.”
“We are reviewing the situation and expect in the upcoming weeks to present to LPF shareholders a number of alternatives,” he added.