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John Devaney Kept His Fund Alive Because He Wasn't Guided By Dollars And Cents

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As you know, United Capital Markets founder John Devaney announced that he'll be liquidating his Horizon hedge funds after they failed to meet margin calls from Deutsche Bank. Many of you are probably wondering-- what the hell took him so long? It was over a year ago that Devaney suspended redemption requests in the funds and was forced to put his beloved and comically named yacht, Positive Carry, up for sale, in addition to his 16-bedroom home in Aspen and his waterfront mansion in Miami. Then in September, after an unnamed bank seized 40 percent of the equity in Devaney's hedge funds, and his accountants and lawyers told him play time was over, Skipper still said no, I'm not ready to give up on these things. What possessed JD to forge on, despite hundreds of millions of (negative dollar) signs telling him it was time to pack it in? Insanity? A fundamental lack of understanding for how these things work ("The ATM spit me out an extra 20-- WILL THAT SAVE US?")? Post traumatic stress disorder developed after witnessing the terrifying event that was selling PC? None of the above. As Devaney told DealBook, "Other guys who are only looking at dollars and cents would have shut the fund down," he said. "I have battled it out to try to save all my investors."
Hedge Fund Manager Describes Rock Bottom [DealBook]