A hedge fund with big-name backing has suffered another blow

pulse

March 10, 2017 11:53 PM

The departure of Rayne Gaisford, Folger Hill's director of risk management, marks at least the third at the senior level as the fund struggles to regain assets.

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Folger Hill Asset Management, a hedge fund backed by Leucadia, has suffered another blow.

Rayne Gaisford, the director of risk management, left in recent weeks and plans to work in consulting, according to people familiar with the situation.

Business Insider previously reported.

Folger Hill has been struggling for some time. Last year, the fund fell -17.5% percent (compared to a 12% gain in the S&P 500).

The firm's flagship fund has returned 0.56% through the end of February, investor documents show. That's compared to a 6% rise in the S&P 500 over the same period.

The hedge fund has not regained the assets it managed just eight months ago, when it oversaw about $1 billion, according to the Hedge Fund Intelligence Billion Dollar Club ranking.

Folger Hill's backer, Leucadia, has been seeking a cash infusion since last year and has not found a partner, people familiar with the situation said. Folger Hill Reuters reported

A spokesman for Folger Hill declined to comment.

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