Hedge fund-of-funds maven Sandra L. Manzke issued an e-mail want ad seeking other angry hedge fund investors.
One of the industrys earliest hedge fund investors, Ms. Manzke now is chairman and chief executive officer of MAXAM Capital Management LLC, Darien, Conn., a hedge fund of funds.
The recent behavior of hedge fund managers has incensed her to the point that shes urged investors to band together to form the Hedge Fund Investors Forum.
I am appalled and disgusted by the activities of a number of hedge fund managers. The increased use of gating, side pocketing, suspension of redemptions, failure to post an NAV, fund liquidations that favor management, are just a few of activities that are giving this industry a bad name, Ms. Manzke wrote in an e-mail sent to 500 contacts that was obtained by Pensions & Investments.
Ms. Manzke is looking for other investors to join with her: As a group we can influence the future of the industry. We can start to define neutrally beneficial terms, not punitive investor terms. If we want to survive, we have to restore confidence and reshape the industry.