PDA

View Full Version : Deja Vu all over again...



GRG55
12-05-07, 08:36 AM
This should go into the "Some People Never Learn" file...

Ex-Amaranth Traders Lose 15% at Moore Capital's Canada Unit

By Jenny Strasburg
<!-- WARNING: #foreach: $wnstory.ATTS: null at /bb/data/web/templates/webmacro_en/20601087.wm:266.2 --><!-- WARNING: #foreach: $wnstory.ATTS: null at /bb/data/web/templates/webmacro_en/20601087.wm:280.19 -->Dec. 5 (Bloomberg) -- A group of former Amaranth Advisors LLC traders, recruited last year to start a Canadian hedge-fund unit for Moore Capital Management Inc., lost 15 percent in November, two people with knowledge of the firm said.

The Toronto-based unit, which managed $1 billion before the decline, opened a year ago to invest money for other Moore funds. It is overseen by Manos Vourkoutiotis, who was hired by the New York-based firm after Amaranth collapsed in September 2006. Last month's performance was hurt by stock and convertible-bond bets...

...``November was a tough month, but Moore will want to look closely to see whether the managers in Canada were taking too much risk,'' said Geoffrey Bobroff, an independent investment consultant in East Greenwich, Rhode Island...

...The 38-year-old trader joined Moore after Greenwich, Connecticut-based Amaranth lost a record $6.6 billion on bad natural-gas trades. Vourkoutiotis managed the firm's investments in Canadian debt, equities and derivatives for six years...

...Bacon brought on the ex-Amaranth employees to trade a range of securities including distressed debt, convertible bonds and equities. They were hired to help Moore ``establish a significant, rewarding and long-term presence in Canada,'' Elaine Crocker, Moore's president, said in an October 2006 statement.


[I]--------------------

Now to be fair Vourkoutiotis doesn't appear to have been involved with Hunter in the natural gas trading that sank Amaranth. But he does seem to have learned from the best...

Vourkoutiotis was one of the first of Amaranth's senior executives to move on after the firm lost 70 percent of its money in two weeks on natural-gas bets overseen by trader Brian Hunter.