One of the most successful long-term investing runs in
hedge fund history is over.
Legendary manager Stanley Druckenmiller of Duquesne Capital
Management is retiring and closing the firm,
according to a letter sent to investors.
First reported by Katherine Burton of Bloomberg, Druckenmiller
explained his rationale in the one-page letter (full text
below). "I have had to recognize that competing in the markets
over such a long timeframe imposes heavy personal costs," he
Druckenmiller also cites the "challenge of managing an
enormous amount of capital" and it "having a clear impact on my
ability to perform."
According to Bloomberg, Duquesne is down 5% in 2010, which if
not turned positive, would be the fund's first losing year in
its 30 years of existence. The money manager for $12 billion
has returned an average of 30 percent annually since 1986.
See AR's 2006 profile of Druckenmiller and Duquesne, "
Here's the full letter announcing the decision.
Druckenmiller August 2010 Letter to Investors