Blackstone Alternative Asset Management is closing the Senfina Advisors multimanager hedge fund platform after a two-year run.
Launched in 2014, Senfina is BAAM's first internally managed hedge fund. Parag Pande, head of Senfina, allocated assets among 11 hedge fund portfolio managers.
Performance of the fund is down 24% year-to-date Nov. 30.
"The market environment in 2016 for long/short hedge funds was unprecedented. We did what was in the best interests of our investors to preserve their capital,” said Paula Chirhart, a Blackstone spokeswoman, in an e-mail.
Senfina currently manages $1.8 billion.
Mr. Pande will leave Blackstone, but the firm is discussing possible money management positions for Senfina portfolio managers within BAAM's hedge fund-of-funds and customized hedge fund solutions business, said a source with knowledge who asked not to be identified. Other Senfina employees have already been redeployed within BAAM.