UBS to shutter hedge fund

UBS AG will close its two-year-old Dillon Read Capital Management hedge fund unit, the bank said today according to published reports.
MAY 03, 2007
By  Bloomberg
UBS AG's will close its two-year-old Dillon Read Capital Management hedge fund unit, the bank said today according to published reports. The Zurich, Switzerland-based bank said that its investment banking division was reintegrating the hedge fund’s portfolios and that third-party funds would be redeemed, said reports. “Operating a proprietary trading platform outside the investment bank and managing client money alongside became too complex and expensive," chief executive Peter Wuffli said in a statement, according to Reuters. "The DRCM initiative did not meet our expectations." Dillon Read reportedly managed $1.5 billion in an outside fixed-income fund and more than $3 billion of the bank's own money in the internal fund.

Latest News

401(k) participants seek advice, but few turn to financial advisors
401(k) participants seek advice, but few turn to financial advisors

Cerulli research finds nearly two-thirds of active retirement plan participants are unadvised, opening a potential engagement opportunity.

Court revives lawsuit over 15% fund return promise
Court revives lawsuit over 15% fund return promise

'Nostradamus' real estate entrepreneur accused of misleading investors on social media despite SEC's objections.

Los Angeles Federal Credit Union splits from LPL’s CFS to Cetera
Los Angeles Federal Credit Union splits from LPL’s CFS to Cetera

LPL loses another institutional client as Cetera adds a $160 million win to its credit union partnership streak.

UBS keeps focus on costs in US wealth management business
UBS keeps focus on costs in US wealth management business

Meanwhile, the bank is also investing in technology for its financial advisors in the United States.

Vanguard seeking SEC green light to expand trademark tax-busting fund design
Vanguard seeking SEC green light to expand trademark tax-busting fund design

The Jack Bogle-founded firm is looking to apply its famed dual-share class structure to actively managed strategies.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today’s choppy market waters, says Myles Lambert, Brighthouse Financial.

SPONSORED Beyond the dashboard: Making wealth tech human

How intelliflo aims to solve advisors' top tech headaches—without sacrificing the personal touch clients crave