Ironwood Capital Management, a San Francisco-based firm that invests client money in hedge funds, has decided to withdraw its entire roughly $100 million investment from SAC, according to people familiar with the decision.
An investor since 2007, Ironwood as recently as last week had told one of its clients that it was comfortable keeping its money with SAC, partly because so much of the money managed by SAC was that of the firm's founder, Steven A. Cohen, and his employees, a client of Ironwood's said.
Ironwood decided to ask for its money back because of a policy, communicated to investors by SAC this month, that SAC would no longer provide investors with updates about the government investigation or provide "unconditional" cooperation with the probe. The lack of transparency made it difficult for Ironwood to monitor the situation and remain invested, a person familiar with the decision said.
Howard Marks Is Really Good At Being In The Right Place At The Right Time
So that's worked out well for him.
SAC Insider-Trader Totally Forgot He Hadn’t Insider Traded When He Pleaded Guilty To It
So can he take that back now?
Things Could Be A LOT Better At SAC Capital Right Now
Back in October, we detailed a list of things that, if you are the hedge fund manager who goes by the name Steven A. Cohen, you really don't want to hear first thing in the morning. They included: “The fleeces are on back order”; “Your ex-wife is in the lobby”; “There’s a photographer here who said he’s been authorized to shoot you wearing a king’s robe and crown for a set of playing cards”; “You’ve been outmaneuvered for the Toledo Mud Hens. But I hear the Binghamton Mets may be available.” Today we must update that list to include another thing, perhaps THE thing,* that people delivering news to Cohen don't want to relay. Paraphrasing but any variants on: "Mr. Cohen, we've received a Wells notice and by the way, they're considering naming you personally."