- Investment giant Brookfield is closing its hedge fund group BHS Advisors.
- The multi-strategy fund launched in 2019 and managed $1.3 billion in assets earlier this year.
- The fund had 66 employees earlier this year, including 38 investment professionals.
Canadian asset management behemoth Brookfield Corporation is shutting down its multi-strategy hedge fund Brookfield Hedge Solutions Advisors.
BHS Advisors, a multi-strategy hedge fund platform within the $825 billion conglomerate, is winding down after four years, according to people familiar with the matter. It had 66 employees — including 38 investment professionals — and managed $1.3 billion in assets, according to a March securities filing.
A Brookfield spokesperson confirmed the decision: “We decided to wind down the fund to focus on other products.”
The move to shutter the group, first launched in 2019, was earlier reported by With Intelligence, which cited sources saying the fund faced challenges scaling the business.
In recent years billions in capital have flooded into multi-strategy hedge funds like Citadel, Millennium, and Point72, which employ teams of traders across a variety of strategies. These funds seek to tightly manage risk in an effort to provide a more diversified approach with lower volatility. But the battle over investment talent and investor capital has grown increasingly competitive as more firms flock to the strategy.
BHS was in expansion mode just over a year ago, opening up a London office in early 2022, the Financial Times reported.
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