Hedge Funds

Gavea's Fraga and Figueiredo part ways


Luiz Fernando Figueiredo is leaving Arminio Fraga's Gavea Investimentos to start his own hedge fund shop in San Paulo. Fraga, the former president of Brazil's central bank, will remain at the helm of Rio de Janeiro-based Gavea, which is expected to take a minority stake in Figueiredo's new hedge fund operation.

Figueiredo, the former director of monetary policy for Brazil's central bank, opted to split off from Gavea for a chance to head his own fund operation. But the decision to spin-out a new shop was mutual, as Gavea found it expensive to run dual trading operations in Rio