BOSTON, Dec 20 (Reuters) - Prominent technology investor Chris Connor is shutting down his hedge fund less than one year after launching it and will be joining Citadel, one of the industry’s biggest players, two sources familiar with the move said on Tuesday.
Connor launched Ardmore Global Investors, which concentrated on picking global technology, media and telecommunications stocks, in March.
The fund started trading with $120 million in capital and will be returning all of the money it oversaw to its investors, one of the sources said.
The sources, speaking on condition of anonymity, did not provide a reason for Connor’s decision.
A spokeswoman for Ardmore did not immediately return a call seeking comment.
Connor, who established his reputation at tech, media and telecom stock specialist John Thaler’s now closed hedge fund JAT Capital, is the latest in a string of portfolio managers to join Citadel’s stock-focused unit, Aptigon.
At least some of Connor’s four Ardmore analysts will also be moving to Aptigon, one of the sources said.
The average global hedge fund has returned 2.48 percent this year, according to data from Hedge Fund Research (HFR), falling far short of the Standard & Poor 500 index’ 10.7 percent gain this year.
Raising fresh cash from institutional clients who have been disappointed by the lackluster returns and high fees of hedge funds has become ever more difficult, and hundreds of managers have opted to shut down this year.
In the first three quarters of 2016 alone, some 782 funds closed their doors, marking the fastest pace of hedge fund closures since the 2007-2009 financial crisis, HFR data show.
Reporting by Svea Herbst-Bayliss and Lawrence Delevingne; Editing by Will Dunham