BlueMountain is winding down its 16-year-old flagship fund, the $2.5 billion BlueMountain Credit Alternatives fund, to focus on its CLO business for its new corporate owner, Assured Guaranty.
BlueMountain co-founder Stephen Siderow will also leave the firm at the end of the year, the firm said in a statement.
The manager, which just a year ago was running several different hedge fund strategies, has pulled back from the space in just ten months.
Click here for more BI Prime stories.
BlueMountain — which has been a major player in the hedge fund game for more than 15 years — is winding down its flagship BlueMountain Credit Alternatives fund.
Affiliated Managers Group recently sold its majority stake in the struggling firm to bond insurer Assured Guaranty, which also purchased the remaining equity in the manager. BlueMountain closing the credit fund marks a huge retreat from the highly competitive hedge fund industry.
The credit fund, which launched in 2003 and manages roughly $2.5 billion, was the centerpiece of a hedge fund portfolio that used to include a systematic long-short equity fund and a discretionary stock-picking fund that the manager also shuttered this year. With the $160 million sale to …read more
Source:: Businessinsider – Finance