Launches & Closures

Goldman’s Sze said to be readying hedge fund

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Goldman Sachs Principal Strategies, led by Hong Kong-based Morgan Sze, is said to be looking at raising external capital for a hedge fund, following the recent passage of the Dodd-Frank Act in the US that will limit large investment banks from running internal proprietary trading desks.

Plans under consideration may see the unit, which makes prop desk trades with the bank’s own money, moved to Goldman’s asset management arm by year-end, with fundraising to take place earlier, in a bid to capture capital commitments before other banks follow suit.  Bank of America Merrill Lynch and Citi are said