IN ASSOCIATION WITH
Portfolio Manager, Moore Capital, London
A ustralian national Greg Coffey reportedly left behind hundreds of millions of bonus payments when he left GLG Partners in April 2008 to join Louis Bacon’s Moore Capital, which sits in the same office building as GLG at number One Curzon Street in London’s Mayfair. Bacon has a very high regard for Coffey’s trading abilities and his views on investment and markets. At GLG Coffey ran $7 billion and was said to have been one of the earliest to start shorting emerging government debt. Coffey was also
supposed to have been a frenetic trader, sometimes turning over his book several times in the space of a day. Having graduated in actuarial studies from MacQuarie University, Coffey initially worked at a Soros-seeded fund called Blueborder, before three proprietary trading positions at Bank Austria, Bankers Trust, and Deutsche Bank.
Pierre Henry Flamand
Founder, Edoma Capital, London
P ierre Henry Flamand has reportedly received bonuses as high as $100 million in reward for the profits generated for Goldman Sachs. Flamand headed the Principal Strategies Group since 2002, running up to $10 billion. This year he became one of many bank traders to quit to set up a hedge fund. Principal Strategies has quite an eclectic remit, similar to a multi strategy fund. It trades relative value, convertible bonds and volatility. While Goldman won't comment on Flamande’s personal
performance, its 10K filings to the SEC do reveal that the Group managed by Flamande returned to profit in 2009 after losses in 2008. Flamand recently announced that his team of twenty will include former Goldman colleagues Ali Hedayat and Emmanuel Niogret, as well as an ex UBS head of European prime brokerage.
Partner and Portfolio Manager, Brevan Howard Asset Management, London
S undstrom spent four years as a portfolio manager at Louis Bacon’s Moore Capital before moving to launch the Brevan Howard Emerging Markets Strategies Master Fund in April 2007. Brevan Howard provided a seed investment of $350 million. BHEMS is a macro directional and relative value fund with a mandate to trade primarily global emerging markets equity and corporate debt. The fund’s AUM has climbed to over $2.4 billion and it is closed to new investors. It performed strongly in 2009
with a 24.95% gain but was down 1.4% for the first four months of 2010. The fund has recorded average annualised performance of over 14% and annual volatility of 9.71%. Its maximum drawdown was 9.2% taken in the third quarter of 2008, but given the market volatility of the period the fund’s gain of 6.84% for the year marked a sharp outperformance.
Founder, Comac Capital, London
C olm O’ Shea read economics at Cambridge and spent over ten years in Citi’s proprietary trading division running money in London and New York. He was a senior macro trading manager at George Soros’s Quantum fund, before being partly seeded by Dmitri Balyasny’s multi-strategy fund. Every year new macro funds are launched and others are discontinued, but Comac has been one of the most consistent performers. The return profile shows asymmetry with up months considerably larger than down
months, evincing disciplined risk controls. Comac accurately bet on the yield curve steepening in 2007-2008 as the US economy plunged into recession. At a recent panel discussion he shared the apparently agnostic view of many macro managers in seeing a reasonably probability of extreme outcomes in terms of either inflation or deflation. O’Shea has also participated in panel discussions on topics such as whether sovereign debt is still risk free, whether it can be diversified and what the “fat tail” risks are in today’s investment climate.
Fund manager, Gartmore Investment Management, London
S tarting his fund management career with Deutsche Morgan Grenfell in 1997 meant that Ben Wallace had lived through the crisis of 1998. This proved to be good training for 2008 when his Octanis fund shot the lights out with a profit of nearly 30%. Wallace is not afraid to take bold directional bets up to 75% net long, and unlike many managers he has gone aggressively net short up to 50%. He also distinguishes between tactical trades, which may exploit events such as rights issues,
and longer term strategic views. Since strategy inception in 2004 he has tripled investors’ money with only one flat year – 2007 – when he can be forgiven for becoming cautious before the bubble burst. Co-manager Luke Newman and four other Gartmore managers feed ideas into the process. The large cap bias means that all this has been achieved without taking on liquidity risks – redemptions were paid on time - and the strategy is also expected to be scalable.