He probably won't but he's thinking about it, thanks to the jerk clients who are suddenly asking for their money back for no good reason other than that they want better returns and fewer fees and the general feeling that they're not flushing their money down the toilet. And that hurts Cooperman, it really does.
The largest exodus of investors since the financial crisis has hedge funds in an unusual spot: defending their existence. The longtime hedge-fund manager Leon Cooperman summed up the mood at the annual SkyBridge Alternatives conference, commonly called SALT, in Las Vegas. “The hedge-fund model is under challenge. It’s under assault,” the 73-year-old Mr. Cooperman said Wednesday at the conference, one of the industry’s marquee annual events. Mr. Cooperman said he was contemplating whether it was worth it to remain running hedge funds at all following investor redemptions from his firm, Omega Advisors. Hedge funds now face unprecedented questions about their worth from their investors, and even some of the managers themselves. That is largely because since the start of the bull-market run in early 2009, a more traditional mix of stocks and bonds bested a broad hedge-fund index in 22 out of 28 quarters, according to a Wall Street Journal analysis of data from research firms HFR Inc. and Morningstar Inc.