Drake to shutter flagship $2.5 billion macro fund

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Drake Management has decided to liquidate its $2.5 billion Drake Global Opportunities Fund following big losses.

The macro fund, which invests primarily in fixed-income securities, has reported back-to-back declines for the past six months. Double-digit losses in both October and November 2007 put the fund down about 24% for the full year. That losing streak continued into this year, as the portfolio, managed by Anthony Faillace, lost 8.4% in the first quarter.

In March, Drake halted redemptions and told investors that the firm was considering several options, including closing down the fund. The fund was hit by extreme