Hedge Fund Meltdown

(Here is the City): ESL Investments has seen its holdings in eight of its largest investments fall an average of $193m in each trading day in the last 26, which translates into a paper loss of $30m an hour. According to Morgan Stanley analyst Huw van Steenis, US hedge fund managers may lose up to 15% and Europeans 25% of assets to withdrawals by the year-end and Citadel Investment Group founder Kenneth Griffin has said: ‘I have never seen a market as full of panic as I’ve seen in the last seven or eight weeks’. Go to article.