Citadel wants to raise a massive fund

We've noted recently that the hedge fund industry's dynamics have morphed in the wake of the credit crunch. Investors are still ravenous for hedge funds, but they are astute enough to note that the power pendulum has swung their way. They're in a much better position to make demands. This has coincided with a sort-of flight to quality in which big, brand name funds are in favor, while small funds are deemed more risky. Citadel's move to raise a $1 billion global macro fund certainly reflects the new reality; $1 billion is massive any way you want to look at it. Chances are Citadel has the heft to hit its goal. Kaveh Alamouti, from Moore Capital Management, will run the fund out of London. It will be interesting to see if investors seek some concessions.

For more:
- here's the FINalternatives article