New York (HedgeCo.Net) – Hedge Fund firm Tudor Investment Corp. has suspended investor redemptions from its $10 billion BVI Global unit until March 31st, giving the company time to split the fund into two.
BVI Global was hit by a wave of client redemption requests after investors moved to withdraw 14 percent of their capital, according to a recent letter to investors. The hedge fund posted a loss of about 5 percent this year, while hedge funds as a whole lost an average of 22 percent through November 24th according to Hedge Fund Research Inc.
Tudor Investment Corp., run by Paul Tudor Jones, wants to separate the corporate bonds and loans from emerging markets and start a new fund called Legacy, according to a recent letter to investors. The BVI flagship fund will stick with its staple of stocks, bonds, currencies and commodities.
The company is asking clients to approve the split within the next two months. Capital would be placed into both the BVI Global Fund and the Legacy Fund, depending on the division of assets.
Tudor Investment Corp. manages approximately $17 billion. Jones’ Tudor Futures Fund has posted gains of 21 percent this year while the firm’s Tensor Fund Ltd has seen returns of about 34 percent, according to people familiar with the matter.
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