Liongate Capital Management Closing, Will Return Investor Capital

Oct 16 2015 | 8:53am ET

London’s Liongate Capital Management is shutting down.

At one point managing north of $3.4 billion, Liongate’s assets have fallen under $500 million, according to the Wall Street Journal citing a person familiar with the matter, and the firm has begun returning cash to investors. 

Liongate was founded in 2003 by Randall Dillard and Jeff Holland in 2003 as a fund of hedge funds. It offers a flagship fund, the Liongate Multi-Strategy Fund, as well as custom portfolios for investors via separately managed accounts. It performed well through the financial crisis, gathering $800 million in assets in 2008 and some $300 million during a six-week period in mid-2009 as investors fled blemished or underperforming funds. 

Insurance company Principal Global Investors bought a majority stake in Liongate in 2013 for $44 million.

However, Liongate has faced headwinds in recent years as fund-of-hedge-funds lost favor among institutional investors, and both Dillard and Hollard left the firm in March 2015 in a shakeup that resulted in Liongate president and former Principal executive Tim Stumpff taking the reins. 

Principal reportedly wrote down its investment in Liongate late last year. 


In Depth

Three Questions Every Hedge Fund Should Ask About the Public Cloud

Oct 20 2015 | 6:44pm ET

Cloud-based technology is rapidly expanding into the alternative investment industry...

Lifestyle

Ferrari Roars in Wall Street Debut

Oct 21 2015 | 4:28pm ET

Shares of supercar maker Ferrari jumped as much as 15 percent to a high of nearly...

Guest Contributor

Boreas: The Importance of Investor Communication When “It” Hits the Fan

Oct 16 2015 | 11:03am ET

Following a difficult third quarter, fund managers across the industry are fielding...

 

Editor's Note

    Oct 21 2015 | 10:41am ET

    One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…