Jersey-based Brevan Howard Capital Management has apologized to investors for the hedge fund’s poor performance last year.
The New York Times reported that Brevan co-founder Alan Howard called the firm’s 2.6% return in 2013 “disappointing” in his year-end letter and added that the hedge fund is “determined to deliver a more satisfactory outcome for 2014.”
Howard said that the firm’s interest rate trading, which is one of its main focuses, brought down Brevan’s returns significantly. Despite the less-than-satisfactory performance, the hedge fund manager wrote that he is “optimistic about the opportunity set for macro trading now than [Brevan has] been for some time.”
Brevan Howard recently surpassed Man Group as Europe’s largest hedge fund firm with approximately $40 billion in assets.