Thanksgiving Linkfest Round Up
Below are a collection of useful and interesting news pieces, articles and videos related to hedge funds:
Link 1: Assets of a Brazilian hedge fund sharply drops: Ciano Investimentos Gestao de Recursos Ltda.‘s flagship hedge fund lost 95 percent of its assets to withdrawals after founder Ilan Goldfajn, a former central bank director, left the company.
Investors withdrew 197.4 million reais ($85 million) Ciano 60 Hedge Fundo de Investimento Multimercado since Nov. 11, a day after Goldfajn departed. The fund’s value plunged to 10.3 million reais as of Nov. 21, according to the Web site of Brazil’s securities regulator, CVM.
“Some investors withdrew funds because of my decision to leave Ciano,” Goldfajn, 42, said in a telephone interview from Rio de Janeiro. “Because of my departure, we waived a 10 percent redemption fee.” Source
Link 2: Hedge Funds Search for Assets in Japan
Japan's Ashiya city has been home to the nation's industrial titans since samurai ruled the land more than a century ago. Now it's a feeding ground for hedge funds tapping the wealth of new multi-millionaires like Kunihisa Sagami.
Sagami, founder of mail-order cosmetics and jewelry supplier Epix, is one of the residents of the gated enclave overlooking the port city of Kobe who are among the highest taxpayers in Japan. They're the elite in a nation where households hold a combined $15 trillion in financial assets -- more than the annual gross domestic product of the U.S. Source
Link 3: Texas Hedge Fund Being Liquidated
Parkcentral Capital Management, an investment firm that manages money for the family of Ross Perot, is liquidating a fixed-income hedge fund because it is “no longer viable.”
This year through October, Parkcentral Global Hub’s assets fell as much as 40 percent, to $1.5 billion. The fund is selling its remaining holdings to pay creditors, Eddie Reeves, a spokesman, said Tuesday. Mr. Perot and members of his family were the fund’s biggest investors.
“Parkcentral Global has been impacted dramatically by the unprecedented upheaval of the capital markets in general and the freezing of credit markets in particular,” Mr. Reeves said. ”The fund is no longer viable.” Source
Link 4: Spitzer's wife to join a hedge fund
The wife of former New York Gov. (and Sheriff of Wall Street) Eliot Spitzer is going to work on Wall Street.
Silda Wall Spitzer, who endured the humiliation of her husband’s resignation amidst a prostitution scandal in March, has joined hedge fund Metropolitan Capital Advisors (which is technically on Madison Avenue), New York Magazine reports. The $300 million firm is run by CNBC personality Karen Finerman, whose husband, Lawrence Golub, is a longtime friend of Eliot Spitzer and contributor to his campaigns.
Silda Spitzer will help “recruit new investors” in her new job, which she started last month. Source
Link 5: Hedge Fund Pacificor Sued
Pacificor has been sued by the former owners of a mortgage lender the California hedge fund bought.
John and Kitty Gaiser have sued the Santa Barbara-based firm and the estate of its former manager, Michael Klein, seeking $30 million. The Gaisers’ lawsuit says that Pacificor “misused a position of trust and control in order to attempt to take control of and acquire—without compensation—John and Kitty Gaiser’s ownership of Quality Home Loans,” the Gaisers’ law firm said in a statement. Source
Link 6: Hedge fund assets stuck within Lehman
Several companies reliant on four US hedge funds face collapse because the funds cannot access shares and loans held at the London arm of Lehman Brothers, the collapsed bank.
The four funds – whose names were kept secret in a High Court ruling this week – claimed that they were likely to close in mid-December if they failed to get access to information about their assets frozen at Lehman. The funds made an unsuccessful effort to force the administrators of Lehman, four PwC partners, to give them details of their assets and how much they owe to Lehman. Source