Hedge Funds

Kingdon to launch credit fund


The storied firm is preparing to launch its first new strategy in 26 years.

In more evidence that hedge funds are benefiting from Wall Street’s implosion, Kingdon Capital Management is preparing to launch its first new fund in 26 years with the former head of global proprietary fixed-income trading at Morgan Stanley running the money.

Kindgon is creating the new fund out of a small credit book in flagship equities portfolio, which is now managed by former Morgan Stanley trader Michael Pohly. Kingdon hired Pohly in January. Pohly ran more than $1 billion at Morgan Stanley and is said to have produced outstanding performance. Morgan Stanley and Kingdon declined to comment.