The hedge fund firm seeded by billionaire investor Julian Robertson is closing its doors following several years of losses prompted by short bets against stocks.
CNBC reported that the flagship fund at Axial Capital Management, which managed approximately $1.8 billion at its peak in 2010, lost 15.4% this year through September and declined 10.2% in 2012. While it gained 0.3% in 2011, the fund saw double-digit declines in both 2010 and 2009.
The exact timing of the liquidation is unclear.
Founded in 2002 by former Bear Stearns investment bankers Marc Andersen and Eliav Assouline with $50 million in capital, Axial is among a slew of hedge funds seeded by Robertson’s Tiger Management in exchange for a percentage of their investor fee revenue.