JPMorgan To Close Hedge Fund, Private Equity Group

Jun 3 2009 | 9:07am ET

JPMorgan Chase is shuttering the hedge fund and private equity businesses of one of its proprietary trading groups.

The New York investment bank is breaking up its principal investment management group. The hedge fund and private equity divisions are to be closed, although its Asian private equity team will continue to operate as part of an emerging markets and credit trading desk.

The group’s real-estate team will move into JPMorgan’s securitized products division, headed by Brian Baker, while its tax-oriented and structured-investing team will join another securitized products group, led by Craig Delaney, Bloomberg News reports

Most of the 150 employees of principal investment management will be reassigned within JPMorgan, possibly including the group’s head, Bob Case. Case joined JPMorgan two years ago from Citigroup, where he served as chief administrative officer of a hedge fund unit.

JPMorgan has been cutting back on its risk-taking in recent months amidst the global financial crisis. The firm closed its global proprietary trading desk in November.


In Depth

Direct Lending: What’s Different Now?

Mar 14 2017 | 8:43pm ET

Senior direct lending funds have become riskier over the past four years, with leverage...

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

SEI: Private Debt Coming Into Its Own

Mar 8 2017 | 9:24pm ET

The explosive growth of private debt over the past few years has caused the lines...

 

From the current issue of