Magnetar Restricts Redemptions

Dec 23 2008 | 2:26am ET

Hedge fund Magnetar Capital is closing the gates on investors after it received more than $700 million in redemption requests.

The Evanston, Ill.-based firm, which manages some $8 billion, told investors on Dec. 18 that withdrawal requests in excess of 15% of its multi-strategy fund’s assets were received for its year-end redemption date, triggering the gate provisions, Bloomberg News reports. The $4.8 billion fund is down 30% through November.

Magnetar told investors that it imposed the withdrawal restrictions to avoid forced asset sales. The hedge fund said that those clients who got their redemption requests in by Sept. 30 will get 10% of their request in cash, and another 5% in shares of two Magnetar credit hedge funds.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

The healthcare sector went on a tear beginning in 2011, thanks in large part to the passage of the Affordable Care Act and its impending implementat