Prentice, Toscafund Hedge Funds Plummeted in June, WSJ Reports

Date: Friday, July 11, 2008
Author: David Altaner, Bloomberg

Two big hedge funds, Prentice Capital Management LP and Toscafund Asset Management LLP, fell sharply in June, the Wall Street Journal reported.

Prentice, a New York City-based firm started in 2005 with funds from SAC Capital Advisors LLC, has dropped 46 percent so far this year; almost half that decline occurred in June as stock and debt investments in retailers dropped, the newspaper said, citing unidentified investors.

Last month, Prentice stopped investors from withdrawing money, the Journal said.

London-based Toscafund, run by Martin Hughes, has dropped almost 30 percent this year as investments in financial and U.K. housing construction stocks have fallen in value, the Journal said.

Toscafund spokesman Neil Bennett said the fund still has net inflows from long-term investors, the newspaper added.

To contact the reporter on this story: David Altaner in London at daltaner@bloomberg.net