Hedge Funds: Hedge Fund to Close Following Neiman Marcus Bankruptcy

Hedge fund Marble Ridge Capital plans to divest following questionable actions taken by managing partner Dan Kamensky.  These actions were in relation to the Neiman Marcus bankruptcy.  According to a statement by Marble Ridge, “After much consideration, and in light of the operating environment, we have made the difficult decision to commence an orderly wind-down of the Marble Ridge funds…Marble Ridge will manage the liquidation in the best interests of our investors and with the objective of protecting and enhancing the value of the funds’ assets.”  

According to sources such as Reuters, Kemensky admitted to making a “grave mistake” to the Department of Justice.  This mistake involved pressuring a Jefferies employee not to bet on specified Neiman Marcus assets.  Kamensky refused to comment.  

According to a Marble Ridge investor, shutting down the firm’s hedge funds was the right decision.  

Marble Ridge is a New York-based hedge fund.  It was founded in 2015 by Kramensky and had $1.2 billion in assets under management as of December 2019.