Wednesday, 26 November 2014
Last updated 10 hours ago
Nov 9 2006 | 11:42am ET
Ritchie Capital, reportedly burned by the spike in natural gas prices that sank Amaranth Advisors, is shuttering its specialist energy hedge fund.
Doug Rothschild, partner-in-chief and administrative officer for the firm, said, “this is part of our broader plan to move the business forward and focus on interesting spaces where we have a definable edge and can capture alpha.”
The $2.8 billion Geneva, Ill.-based firm’s energy fund had had a rough 2006; it was down in double-digits even before September’s disastrous natural gas price movements. The firm successfully won investor approval of new investment terms, including some lock-ups of up to three years. The firm said the move was necessary to prevent an outflow of investors requiring a major asset sell-off.
Ritchie’s is not the only energy hedge fund to hit hard times. In addition to Amaranth, MotherRock also closed its doors this year, and Citadel Investment Group reportedly took a hit from the energy markets.
Nov 4 2014 | 9:45am ET
Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…
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