Tags: Citadel | Kaufman | hedge fund | bond

Citadel's Kaufman Resigns, Said to Lose $1 Billion in 2014

Thursday, 16 Apr 2015 12:30 PM

Derek Kaufman, global head of fixed income at Citadel LLC, is leaving the hedge fund firm after losing $1 billion last year in a variety of trades, according to a person familiar with the matter.

Katie Spring, a spokeswoman for the Chicago-based firm founded by Ken Griffin, said Kaufman resigned two weeks ago and his portion of the portfolio has been liquidated, adding that the rest of his team is remaining. Calls to Kaufman weren’t answered.

Citadel hired Ben Bernanke, former chairman of the U.S. Federal Reserve, as a senior adviser on global financial and economic issues, the New York Times reported Thursday.

Citadel’s fixed-income operations are divided into 18 different portfolios that focus on specific regions of the world or various parts of the credit markets. Fourteen of these were profitable last year, but the $4 billion Global Fixed Income Fund ended the year up just 0.75 percent, said the person, who asked not to be named because the firm is private.

Citadel, which manages about $26 billion in assets, hired Kaufman from JPMorgan Chase & Co. in 2008, where he was a proprietary trader, to expand the fixed-income operation beyond its Kensington and Wellington funds, two of the biggest pools the hedge fund operates. Kaufman also managed money for Kensington and Wellington, said the person.

Citadel’s main funds are up 7 percent this year through March, the person said.

Ben Bernanke, former chairman of the U.S. Federal Reserve, agreed to become a senior adviser to Citadel, the New York Times reported on Thursday.
 

© Copyright 2017 Bloomberg News. All rights reserved.

   
1Like our page
2Share
InvestingAnalysis
Derek Kaufman, global head of fixed income at Citadel LLC, is leaving the hedge fund firm after losing $1 billion last year in a variety of trades, according to a person familiar with the matter.
Citadel, Kaufman, hedge fund, bond
255
2015-30-16
Thursday, 16 Apr 2015 12:30 PM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved