My hedge fund has lost about a third of NAV.. I don't know if the investors were told yet. It sucks, big time, especially since the job market is contracting right now.. I don't know the management's plans yet, whether they're in the process of liquidating or what not. All I know is we're down big, and lost around a third of capital, and I heard about enough hedge funds liquidating after 25 - 35% losses to have legitimate concern about the fund blowing up.
sorry to hear, at least its during a time when its not a rare occurrence. What type of strategy did the fund employ?
Relative Value & Macro. Relative Value is off ~ 1/3, and our biggest funds. Macro is off like 15%, but those funds are a very small part of our business.
Well, the Nasdaq is 25% off its high, so it isn't unexpected that a risk-taking hedge fund might be down by a third. If your fund isn't advertised as low volatility I would think your investors would understand.
Damn! And you just got started too, right? Well, I guess it's time to get the day-trading skills together.
Are you responsible, partially or wholly, for the loss? It seems you have spent your time at the wrong place. ET is for day traders, hedge funds use long-term strategies.