Fund launches & closures

A banner year for shutdowns

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Fund closures hit an estimated $84 billion - more than quadruple the amount in 2007 - with more than 200 American funds shuttered last year.

Fund closures hit an estimated $84 billion - more than quadruple the amount in 2007 - with more than 200 American funds shuttered last year

By Irwin Speizer

Trading losses and redemption runs, bankruptcies and government intervention, accounting issues and the spectacular meltdown of Bernie Madoff's operation all combined to make 2008 a banner year for hedge fund blowups, with more than 200 American funds or fund families shuttered or heading toward liquidation. The total is more than four times the number from the previous year, when some 49 hedge funds closed.

The shakeout caused