HFA Holdings Ltd, the Australian hedge fund manager with $3 billion in assets, said its funds suffered their biggest drop in 10 years last month as a result of a rout in global markets. Chief Executive Officer Paul Jensen subsequently resigned.
HFA’s Diversified Investments Fund, which invests in debt and equities, lost 3.9 percent in August, paring its 12 month performance to 12 percent, the company said in a statement. Sydney-based HFA’s Partner’s Fund, which invests in other hedge fund managers’ products, also fell 8.2 percent in August 2007.