Big banks still seeking hedge fund gold

The blow up of Old Lane at Citigroup highlights the trickiness involved in setting up a top hedge fund operation at a big bank. The notion has long been that hedge funds are better off independent, as they can break through the bureaucracy of a big bank. We've certainly seen a lot of big bank execs leave for small hedge funds. But big banks continue to be major, if not dominant players, notes Business Week. Goldman Sachs, Barclays and JPMorgan Chase all rank in the top 10. JPMorgan Chase has proved it can work. Recall, it took a stake in Highbridge back in 2004, marrying the firm's asset management skills with its sales force. The results have been spectacular--in some way the envy of many big banks. Other banks would like to follow suit. If only it were that easy.  

For more:
- here's the Business Week article

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