Jump to content

Eisler Capital

Add links
From Wikipedia, the free encyclopedia

This is an old revision of this page, as edited by Helith049 (talk | contribs) at 10:07, 29 January 2024. The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

Eisler Capital (UK) Ltd
Company typePrivate
IndustryInvestment management
Founded2015; 9 years ago (2015)
Founder
  • Edward Eisler
Headquarters
London
,
United Kingdom
Key people
270 (2023)
AUMUS$4 billion (January 2024)[1]
Websitewww.eislercapital.com

Eisler Capital (Eisler) is a multi-strategy hedge fund management firm headquartered in London. Originally established to focus on global macro, it transitioned to a multi-manager investment approach.

The firm has additional offices in Europe and the United States.

Background

In 2012, Edward Eisler retired from Goldman Sachs. He was previously Co-Head of the sales and trading division at Goldman Sachs. He then attempted to raise $2 billion to set up an emerging markets focused private equity firm named DMC Partners but by 2014 had to scrap such plans due to the turmoil in Russia and the Middle east. In 2015, he established Eisler Capital with its first hedge fund focusing on global macro. It was originally based in St James's Place with five employees.[2][3][4][5]

In February 2021, Eisler raised $1billion to launch its Multi Strategy Fund. This marked Eisler's entry into the multi-strategy sector which was the most popular strategy among hedge funds at the time.[6]

In November 2022, Eisler closed its first hedge fund, Eisler Capital Master Fund which focused on global macro. The fund had shrunk significantly with a loss of 8% that year and the firm wanted to transition to a multi-strategy approach which was more popular among investors. Following this move, Eisler's multi-strategy fund became the flagship fund of the firm. It had a gain of 15.1% in 2022,[7] and 9.8% in 2023[8] while continuously growing AUM. At the same time, Eisler decided to shelve plans to launch other funds.[5]

In November 2023, following a growing trend in the multi-strategy sector, Eisler decided to reduce the amount of capital that investors could withdraw each quarter from 25% to 12.5% of their investments. This was done to prevent sudden withdrawals during periods of poor performance and well as having more predictable fees that are used for staff retention and technology investments.[9]

Corporate Affairs

In December 2021, Eisler announced it would acquire Glen Point Capital, another London-based investment firm. However, by February 2022, the deal fell apart because of a disagreement on the level of risk that Glen Point funds could take. Eisler was very risk-adverse while Glen Point would regularly take higher risk to get bigger returns.[10] In October 2023, Neil Phillips, the co-founder of Glen Point was found guilty of commodities fraud.[11]

In March 2022, Eisler returned all Russia-linked capital as it was sanctioned due to the Russian invasion of Ukraine. Over $100 million was provided by LetterOne, an entity linked to Mikhail Fridman.[12]

Eisler has been noted for paying high salaries to its employees. In 2022, it paid its average UK employee $1.2 million. However it has also been noted to have a harsh environment with significant turnover. In September 2023, it was reported that at least 12 senior employees had left the firm within the last six months where many had only recently joined the firm.[4][13]

References

  1. ^ Agnew, Harriet (4 January 2024). "Citadel and Millennium outpace smaller hedge fund rivals". FT.
  2. ^ ""Former Goldman Trading Executive to Launch New Hedge Fund"". The Wall Street Journal. 9 September 2015.
  3. ^ Baer, Justin (9 September 2015). "Former Goldman Trading Executive to Launch New Hedge Fund". Wall Street Journal. ISSN 0099-9660. Retrieved 25 October 2023.
  4. ^ a b "Eisler Capital: The 'intellectually honest' hedge fund paying millions". eFinancialCareers. 16 October 2023. Retrieved 25 October 2023.
  5. ^ a b "Eisler to Shut Its Oldest Hedge Fund to Focus on Multi-Strategy". Bloomberg.com. 2 November 2022. Retrieved 25 October 2023.
  6. ^ "Secretive Hedge Fund Raises $1 Billion to Make Big Leveraged Bets". Bloomberg.com. 22 July 2021. Retrieved 25 October 2023.
  7. ^ Kumar, Nishant (24 March 2023). "Star-Led Hedge Funds Hit by Steep Losses, Stunting Their Comeback". Bloomberg.{{cite news}}: CS1 maint: url-status (link)
  8. ^ Kumar, Nishant; Tetley, Liza (3 January 2024). "Hedge Funds Millennium, Eisler Close Out 2023 With 10% Gains". Bloomberg.{{cite news}}: CS1 maint: url-status (link)
  9. ^ Kumar, Nishant (10 November 2023). "Hedge Fund Eisler Capital to Lock Up Investor Money for Longer". Bloomberg.com. Retrieved 19 January 2024.
  10. ^ "Eisler's Deal to Buy Macro Hedge Fund Glen Point Falls Apart". Bloomberg.com. 17 February 2022. Retrieved 25 October 2023.
  11. ^ Miller, Joe; Mourselas, Costas (25 October 2023). "Hedge fund co-founder Neil Phillips convicted over forex manipulation". Financial Times. Retrieved 28 October 2023.
  12. ^ "Eisler Hedge Fund Faces Investor Scrutiny of Russia-Linked Cash". Bloomberg.com. 4 March 2022. Retrieved 25 October 2023.
  13. ^ "Hedge fund Eisler Capital's new array of London exits". eFinancialCareers. 25 September 2023. Retrieved 25 October 2023.
Retrieved from "https://en.wikipedia.org/w/index.php?title=Eisler_Capital&oldid=1200368349"