Last year, billionaire hedge fund titan Louis Bacon, the founder of Moore Capital Management, invested $800 million in a hedge fund started by two of his fund’s former traders, Bloomberg News reported citing unnamed sources.That’s a heck of a lot of seed capital!
According to Bloomberg, Moore’s $800 million went to macro hedge fund Stone Milliner Asset Management, which was founded by Jens-Peter Stein and Kornelius Klobucar.
It’s not surprising because Moore has a history of investing in his former traders’ funds. What’s more is these two produced average returns of 8% at Moore Capital from 2006 to 2011, sources told Bloomberg.
Stone Milliner started trading last month with more than $1 billion AUM, the report said.