Marc Mezvinsky became the son-in-law of Hillary Clinton when he married Chelsea in 2010. Taking his newfound Clinton power, Stanford degree, and eight years of Goldman Sachs experience, he co-founded the hedge fund firm Eaglevale Partners. The fund has about $330M assets under his management.
However, despite all those things sounding like success, it was Marc who is the dumbass here. Two years ago, he thought of this great idea to bet big on Greece. People around the firm agreed and the Hellenic Opportunity fund was born. After raising a good $25M towards the big bets on Greece’s stocks and buying their government debt, Marc was excited to make some big money thanks to the Greek recovery.
Only problem? Greece still hasn’t recovered. In fact, Greece shat the bed so hard over the last two years that the fund lost around 90 percent of its value. 90! Marc and co. were forced to cut the fund that Marc pitched so hard to start.
From The New York Times:
Now, two years later, the Greece-focused fund is shutting down, after losing nearly 90 percent of its value, according to two investors with direct knowledge of the matter who spoke on the condition of anonymity.
It’s shocking that they kept it around this long considering the Hellenic fund had dropped over 40 percent by this time last year. Eaglevale itself has dropped 1% in value since the start of the year, compared to the industry average of hedge funds losing 0.63 percent of their value.
It’s kind of shocking that someone who has a connection to Hillary couldn’t get some useful information on the whole Greece situation before making a $25M bet. At least the investors will get to claim a huge tax loss?.
[via The New York Times]
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