US hedge fund Schonfeld Strategic Advisors has told 150 of its 1,000 employees that they are losing their jobs as the firm looks to cut costs in the wake of its failed tie-up talks with Millennium Management, according to a report by the Financial Times.
The report cites a person with direct knowledge of the situation as revealing that the cuts, which amount to 15% of Schonfeld’s total workforce, are largely related to non-investment roles in areas such as technology and back-office services.
Earlier this week, Schonfeld pulled the plug on discussions with Millennium, which had been going on for months, over a tie-up that would have seen it run billions of dollars for its larger rival, after existing investors said they would provide $3bn more in funds.
Schonfled currently manages around $11.7bn while Millennium ranks among the world’s largest hedge funds with $60bn under management.
