Hedge fund firm Perry Capital will shut down its flagshipfunds due to strong market headwinds, according to reports citing a Sept. 26letter sent to investors.
Founder Richard Perry said in his letter that the timing forgains on investments has become unpredictable, according to the reports.Bloomberg News said the firm has found it difficult to convince clients to keeptheir money in the funds, and that investors have pulled out more than halftheir assets over the past year. Reuters said the announcement follows a recentrecord of lackluster performance for the hedge fund sector.
Perry told investors in his letter that the firm will returna substantial amount of capital to clients in October, the news outlets said.
Perry Capital's letter comes after a number of other fundsdecided to close downand liquidate their positions.