Wed, Oct 7, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

SAC seen to reduce staff, close offices and scale back trading in midst of investor pull out

Tuesday, June 04, 2013

From Precy Dumlao, Opalesque Asia – All the troubles hounding hedge fund manager Steven A. Cohen, founder of SAC Capital are expected to trickle down to his employees soon as the $15bn fund management firm is seen to reduce the number of its staff, close down offices and scale back on its trades as outside investors pull out their money amidst ongoing insider trading investigations.

A report by CNN said that Cohen is faced with tough choices and he has to make decisions soon.

The report quoted said Daryl Jones, director of research at Hedgeye Risk Management, which lists SAC as one of its clients as saying, "There are going to be a lot of tough choices for Steve Cohen to make if he loses the bulk of his outside money, and one of them is probably going to involve trimming his staff."

SAC Capital’s assets are expected to decline to $8bn, or representing Cohen’s personal fortune, after all outside investors have pulled out the bulk of their money, many experts believe the hedge fund will have no need to maintain its current large operations.

The first to be axed from SAC Capital’s 950-employee firm are the "support and ancillary staff," as well as those from the finance and accounting departments, the report added.

Some offices are expected to be closed down as the hedge fund reduces its trades, others added.

Withdrawal requests from SAC Capital h......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. U.S. hedge funds prepare for worst finish this year since 2008[more]

    Komfie Manalo, Opalesque Asia: U.S.-focused hedge funds are preparing for their worst year since the 2008 global financial crisis, following a series of letdown including the market sell-off in August and the sell-off in healthcare and biotechnology sectors last month, reported

  2. Investing - AQR Capital and Renaissance Technologies raise stakes in Southwest Airlines[more]

    From In the previous part of this series, we saw how institutional investors played Southwest Airlines (LUV) in 2Q15. Now let’s move on to the trades executed by key hedge funds in Southwest Airlines over the same period. … Most of the hedge funds that had significant exposu

  3. DoubleLine’s Jeffrey Gundlach warns of another round of market shakedown[more]

    Komfie Manalo, Opalesque Asia: DoubleLine Capital co-founder Jeffrey Gundlach is painting a bleak future as he warned that the U.S. equity market and other risk markets, such as high-yield "junk" bonds, are facing another round of selling pressure. Gundlach said in an interview with

  4. A hedge fund strategy that seems to have fizzled[more]

    From The hedge fund strategy that has attracted the most money this year is on course to cause some of the biggest losses for investors, in the latest example of the dangers of going with the crowd. Institutions and individuals have piled an estimated $20 billion (Dh73 billion) into ma

  5. Hedge fund Barnegat survives September’s market selloff[more]

    Komfie Manalo, Opalesque Asia: Bob Treue’s $679 million Barnegat Fund proved resilient after another month of market letdown as the hedge fund gained 2.2% last month, bringing its year-to-date gains to 2.8%. Treue said in his monthly report to i