Large Hedge Fund D.E. Shaw Cuts 10% Of Staff
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D.E. Shaw & Co., the third-largest hedge fund firm in the world, has cut its staff by 150 employees as the firm is battling with investors over losses and access to their cash, according to a report from Reuters on Wednesday citing people familiar with the matter.
The firm manages roughly $21 billion in assets, reportedly laid off 10 percent of its workers on Tuesday, which included everyone from partners to portfolio managers.
"The D.E. Shaw group has taken steps to strengthen our business and maximize value for our investors over the long term," a spokesman for D.E. Shaw told Reuters in response to the job cuts.
The D.E. Shaw U.K. and Dubai units reported a loss of 9 million pounds ($14.23 million) last year, up from 430,000 pounds in 2008, as the firm was impacted by lower fees on the assets it manages.
The firm's Composite International fund has fallen 2.6 percent this year so far, according to an investor cited by Reuters, while the average fund is up 2.46 percent.
"My feeling is that they haven't been rushing to return money to investors," the investor said. "We haven't seen an investor-friendly process."
The firm manages roughly $21 billion in assets, reportedly laid off 10 percent of its workers on Tuesday, which included everyone from partners to portfolio managers.
"The D.E. Shaw group has taken steps to strengthen our business and maximize value for our investors over the long term," a spokesman for D.E. Shaw told Reuters in response to the job cuts.
The D.E. Shaw U.K. and Dubai units reported a loss of 9 million pounds ($14.23 million) last year, up from 430,000 pounds in 2008, as the firm was impacted by lower fees on the assets it manages.
The firm's Composite International fund has fallen 2.6 percent this year so far, according to an investor cited by Reuters, while the average fund is up 2.46 percent.
"My feeling is that they haven't been rushing to return money to investors," the investor said. "We haven't seen an investor-friendly process."
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