Hedge Fund Industry Fluctuations in 2017

Like most industries where large monies are involved, hedge funds are no strangers to key executive shake-ups. Kevin Ulrich launched his investment found in 2003 having previously worked as a distressed debt manager. Together with colleague Tony Davis (who was in the same position as Kevin Ulrich at the time), they created Anchorage Capital Group that today has approximately $15 billion under firm assets.

As hedge funds have played an increasingly larger role at Autodesk, changes in management at the 3D printing firm have been encountered. The latest news on that front is of the resignation of CEO Carl Bass along with the upcoming departure of board members Scott Ferguson (Sachem Head Capital Management Managing Partner) and Jeff Clarke.   Bass was in this key position at the firm for more than 10 years. He will not be completely detaching from the firm however, since he will remain on the board and also be nominated for re-election. Meanwhile, Autodesk is selecting both an interim CEO as well as a CEO search committee.

Another movement in the industry concerns a merger between two firms, which ultimately impacts the status of the CEOs there. A merger between KKR Prisma and Pacific Alternative Management Company (PAAMCO) is underway to build a firm that will provide clients with “alternative investment strategies through liquid instruments such as mutual funds.” This merged company will be jointly run by co-founders and CEOs of each company: Jane Buchan (PAAMCO) and Girish Reddy (KKR Prisma and KKR Hedge Funds).

There are always movements in the hedge fund industry but given there has just been a new Presidential election in the US – potentially changing the socio-political climactic impact on the industry – 2017 just might result in even greater fluctuations.