Top Japanese Hedge Fund Shop To Close

Feb 4 2009 | 1:44am ET

One of the best-performing hedge fund managers in Japan is calling it quits, because of a dramatic decline in commodities trading volume.

Kanetsu Asset Management will close its doors in March, Bloomberg News reports. While the firm’s DragonHorse hedge fund was among the best in Japan last year, returning 27%, the firm’s quantitative models have become less viable as commodities trading volumes fall.

“Performance wasn’t enough to cover operating costs,” Takashi Ogura, president of Kanetsu, told Bloomberg. “The outlook remains bleak and it is not a profitable business for us.” He said that the firm’s parent and shareholders decided to close the 14-year-old firm last month.

Kanetsu will close DragonHorse and its other two hedge funds. The firm focused mainly on Japanese markets trading gold, platinum, gasoline, corn, rubber and coffee. One of its other hedge funds, Sea Breeze, was also among Japan’s best performers last year, returning 11%.

Kanetsu has some ¥800 million (US$8.9 million) in assets under management.


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