This post was contributed by a community member. The views expressed here are the author's own.

Business & Tech

Stamford-based Diamondback Capital Liquidating Assets

The firm, with offices in the Landmark Square building, plans to return the majority of clients' cash next month, according to a report in the Wall Street Journal.

Stamford-based Diamondback Capital Management — one of several hedge funds raided by the FBI two years ago as the result of an investigation into insider trading — is reportedly closing following requests from investors to withdraw about $520 million, or about 26% of its assets.

The firm, with offices in the Landmark Square building, plans to return the majority of clients' cash next month, according to a report in the Wall Street Journal.

"Rather than continue to manage investor capital while undertaking to restructure the firm to manage this reduced level of assets, we have decided that the most prudent course is to wind down and terminate the funds and return investor capital," the hedge fund's founders Richard Schimel and Larry Sapanski said in a letter to investors, according to the report.

Interested in local real estate?Subscribe to Patch's new newsletter to be the first to know about open houses, new listings and more.

Meanwhile former Diamondback portfolio manager Todd Newman is on trial in Manhattan on insider trading charges.

For more check out the Wall Street Journal report.

Interested in local real estate?Subscribe to Patch's new newsletter to be the first to know about open houses, new listings and more.

We’ve removed the ability to reply as we work to make improvements. Learn more here

The views expressed in this post are the author's own. Want to post on Patch?