Is the Cadillac of Hedge Funds Being Taken To The Chop Shop?

By Bess Levin

Rumors are swirling– swirling– that Goldman Sachs’s flagship hedge fund, Global Alpha, is being liquidated. The news has apparently put pressure on shares in EADS (-2%), which is a constituent of the fund, as well as Germany’s Continental (-2.2%) and Italy’s Fiat (-3%), which are investments of the fund. Global Alpha recorded a 7.7% loss in the last week of July, bringing its performance for the year to -12.1% before fees.

Comments (13)

  1. 1
    Posted by Dave Chappelle | August 7, 2007 at 11:53 AM

    Goldman has already officially denied this . . .

  2. 2
    Posted by PBateman | August 7, 2007 at 11:56 AM

    Definitely is not true.

  3. 3
    Posted by Jeff Larson | August 7, 2007 at 11:58 AM

    yea… remember when i swore up and down that i wasn’t going to shutter sowood? ah, the memories.
    but we should totally believe goldman’s denial.

  4. 4
    Posted by Random Banker | August 7, 2007 at 12:08 PM

    Isn’t it funny how Goldman’s own hedge fund, betting the firm’s money out performs the hedge funds in GSAM managing other people’s money. I wonder what that means.

  5. 5
    Posted by Former Eye-Patch Wearing Joker | August 7, 2007 at 12:17 PM

    It means they are stuck in the middle of a huge conflict of interest.

  6. 6
    Posted by Not Random Banker | August 7, 2007 at 12:18 PM

    Random Banker, if by “Goldman’s own hedge fund” you mean GS Prinicipal Strategies, then you are clearly mistaken. GS Prinicipal Strategies is now accepting outside investors as it’s been moved under the GSAM umbrella.
    Anyone know where these Global Alpha rumors stemming from?

  7. 7
    Posted by Random Banker | August 7, 2007 at 12:30 PM

    interesting, i didn’t know they’d moved GSPS did they move SSI to GSAM as well?

  8. 8
    Posted by Anonymous | August 7, 2007 at 1:06 PM

    Renaissance is up 40% ytd

  9. 9
    Posted by em | August 7, 2007 at 1:08 PM

    i hear rentech was up like 4% ytd…

  10. 10
    Posted by Anonymous | August 7, 2007 at 1:15 PM

    Citadel is up 25ish% YTD

  11. 11
    Posted by Shecky Buffett | August 7, 2007 at 1:16 PM

    Is their Smuckers Fund in a jam?

  12. 12
    Posted by hold the phone | August 7, 2007 at 1:22 PM

    Goldman? Conflict of interest? NAWWWWWWWW

  13. 13
    Posted by always a cover bid | August 7, 2007 at 1:59 PM

    I heard the rumor was started by teenagers whose father had a dispute with Goldman

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