Tuesday, September 28, 2010

De Shaw Group cut about 10% of staff


The S.D. Shaw Group cut about 10% of staff on Tuesday that the hedge fund company adjusts to a drop in the amount of assets it oversees.


Todd Groome of the Alternative Investment Association discusses financial regulatory reform in Washington, which is in its crucial phase of writing rules for the supervision of the hedge fund industry.
S.D. Shaw laid off about 150 employees following a strategic review. The firm, which uses computer models to identify trading opportunities, oversees $ 21 billion in assets, down from a peak of approximately $ 38 million before the 2008 financial crisis.
"The DE Shaw group has taken steps to strengthen our business and maximize value for our long-term investors," wrote a company spokesperson in an email to MarketWatch.
Institutional Investor reported job cuts on its website earlier on Tuesday.
S.D. Shaw Composite International Fund lost almost 10% in 2008. The company informed investors limited reimbursements that year, one of many companies in the industry to adopt such measures.

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