Paulson blasts hedge funds for restricting withdrawals.
Dec. 31 (Bloomberg) – John Paulson, who runs the $36 billion hedge-fund firm Paulson & Co., has some harsh words for his peers and their tendency this year to block or curb clients’ attempts to get their money back.
“We think it’s a mistake for managers to use gates and other tools to limit investor access to their funds,” Paulson wrote in a 2009 outlook to investors. “While we recognize the difficulties of the current environment, we think it is a manager’s responsibility to raise liquidity to meet the redemption needs of their investors.”
Paulson, 53, can make his case for client-friendly policies because he made money for investors this year. His largest fund, the $13 billion Paulson Advantage Plus has climbed about 38 percent through Dec. 19, according to the undated report, making it the best performer among multibillion-dollar funds.
Most hedge-fund managers have had a tougher year than Paulson.
Okay, he sounds like he might be legitimate, but you’ll notice you don’t see any mention of his never ever losing money, good market or bad. And I bet he wouldn’t let Walt tack on a 2-20% charge, either. Not good enough for FGG – sorry.
