London-based hedge funds GLG Partners and Ferox Capital Management have lost their credit fund skippers, after a heavy year of trading losses. GLG's Jean-Michel Hannoun, credit hedge fund manager, is out the door and Ferox portfolio managers Filippo Lanza and Tony Maude have left and are resurfacing at Deutsche Bank and Dresdner Kleinwort Wasserstein, respectively.
Hannoun, whose destination could not be determined, was one of the biggest buyers of credit correlation products in the market, according to dealers, but the fund dropped to USD400 million from USD1 billion over the past year, taking a hit from the downgrades of Ford Motor Co. and General Motors debt in May. Cyril Armleder, who joined GLG from Goldman Sachs in May (DW, 5/27), is tipped to take on some of Hannoun's responsibilities. Tim Kushill, spokeman for GLG in London, declined comment.
As first reported on DW's Web site, Ferox, the fund founded by former world fly-fishing champion Jeremy Hermann, has also closed its credit master fund. Lanza and Maude, now head of hedge fund credit sales at DrKW, declined comment, as did Nicholas Curtis, spokesman at Ferox, on the timing and reason for the closure. The size of the fund and Ferox's assets under management could not be determined.
