Brevan Howard Star Trader Going With The "If You Don't Use It, You Lose It" Defense Re: Non-Compete


For a lot of people in the banking industry, a non-compete is a nice little 3-6 month enforced vacation in between jobs. For Christopher Rokos, a co-founder of Brevan Howard, it's a half a decade death sentence that will cause his trading hands and legs to shrivel up and break off, or at least become purely ornamental.

Court documents seen by the Financial Times show that Christopher Rokos, a founding partner of Brevan Howard who left in 2012, is seeking to overturn a five-year, non-compete clause before launching his own hedge fund. Investors in the industry believe the new fund could be one of the biggest start-ups since the financial crisis...Brevan Howard is arguing in a Jersey court that Mr Rokos’ trading skills and past access to investors means any attempt to launch his own fund “constitutes a significant and ongoing threat to the legitimate interests of the partnership”. Mr Rokos, 43, argues in his filing that the ban on him launching a fund for five years is a restraint of trade that would “atrophy” his trading skills, and damage his professional reputation and contacts. The documents describe Mr Rokos as a “star trader” who earned about $900m in his time at Brevan Howard as a specialist in trading interest rates. The case will be heard in November of this year.

Brevan Howard battles co-founder’s rival plans [FT]