"Shutting down a hedge fund isn't as simple as turning off the lights and handing the office keys to the building manager. Trades need to be wound down slowly to make sure backers don't lose money in a fire sale. Employment contracts with payouts and deferred compensation need to be honored. Anything worth selling needs to find a buyer. At $3.2 billion Eisler Capital, the London-based multistrategy fund founded by Goldman Sachs veteran Ed Eisler,"
"The firm had transformed itself from a macro shop into a fund with dozens of different teams trading their own specialities and had ambitious goals. In a conversation with Business Insider at the end of 2023, Eisler's COO, Chris Milner, said the manager had increased head count by more than 40% that year and had "a lot of support from our capital partners and the Street right now and don't feel constrained.""
"Unfortunately, 2023 was a high point for the firm. The firm made 3% in 2024, trailing its larger multistrategy peers, as costs mounted. Key moneymakers Adrien Delattre and Lewis Morton left the firm despite being named partners at the end of 2023. "The challenge of attracting and retaining experienced money managers capable of deploying capital at scale within a cost structure acceptable to investors has grown significantly," the firm told investors in its letter."
Eisler Capital announced closure after citing high talent costs and mounting expenses. The firm employed more than 250 people across nine offices in the US, Europe, and the Middle East. Trades and portfolios require gradual wind-downs, employment contracts and deferred compensation must be honored, and saleable assets need buyers. The manager had shifted from a macro shop to a multistrategy model, expanded headcount over 40% in 2023, and posted only 3% in 2024 while trailing peers. Key money managers departed despite partner titles. The firm explored selling its Photon risk system and held talks with rival funds.
Read at Business Insider
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