It remains to be seen whether SAC will become a less important client on Wall Street over the longer term. The fund’s assets under management are dropping as investors have asked to withdraw money amid the intensifying investigation. Over the last six months, many investors have cut ties with SAC, with roughly $5 billion of $6 billion in outside money being withdrawn from the fund. The firm could also see an exodus of employees. Already, according to one executive of another hedge fund, some SAC employees are stealthily conducting interviews in hotel rooms and private homes to avoid being seen on rivals’ trading floors. [Dealbook]
Things Could Be Worse But They Could Also Be Better At SAC Capital Right Now
The good news, if you are Mr. Steve Cohen: you were neither charged nor "mentioned by name" in the criminal complaint against your former employee, Mathew Martoma. The less good news: YOU ARE PORTFOLIO MANAGER A. YOU NEVER WANT TO BE PORTFOLIO MANAGER A!