UK’s biggest hedge fund star Greg Coffey RETIRES with a £430m fortune

| October 18, 2012 | 0 Comments

  • Australian Greg Coffey owns sprawling estate in Scotland and mansions across world
  • Dubbed ‘the Wizard of Oz’, he announced resignation to investors after 20 years in the industry

By
Larisa Brown

08:04 EST, 18 October 2012


|

11:12 EST, 18 October 2012


Greg Coffey, pictured, whose fortune is estimated at more than $700million, has resigned to spend more time with his family

Greg Coffey, pictured, whose fortune is estimated at more than $700million, has resigned to spend more time with his family

At the age of 41, he has amassed a fortune of £430million and a portfolio of luxury properties across the globe.

But now the UK’s biggest hedge fund star is walking away from his lucrative career – to concentrate on his family.

Greg Coffey announced in a letter to investors that he is retiring from Moore Capital Management, run by billionaire Louis Bacon, after 20 years in the industry.

Mr Coffey, once tipped as a successor
to Mr Bacon, wrote: ‘After nearly 20 years in the financial markets,
I’ve decided to leave the industry.

‘The demands of my growing family mean that I am unable to
commit to the market with the same intensity going forward.

‘I plan on
seeing much more of my wife and children and spending time in my home
country, Australia.’

A source close to Mr Coffey told
MailOnline that he was a ‘very passionate man’, who would often work
throughout the night and day, and after 20 years he felt it was time to leave.

Mr Coffey has a wife and three young children.

The
millionaire, from Australia, owns plush properties across the world,
including a hunting estate on the Hebridean island of Jura, Scotland,
and mansions in Kensington, London and Sydney.

Mr Coffey bought the sprawling Ardfin Estate on Jura in 2008, when it was on the market for £3.5million.

It was described by estate agents as ‘The Jewel of Jura’, ‘an outstanding sporting estate’ including internationally-renowned gardens, several houses and cottages, ‘prolific red deer stalking’, with 10 miles of coastline and seven private islands.

As well as the red deer stalking, sports that can be enjoyed within the estate are low ground game shooting and sea fishing.

Picturesque: The top City trader owns a sprawling estate on the island of Jura, Scotland, pictured

Picturesque: The top City trader owns a sprawling estate on the island of Jura, Scotland, pictured

'The Jewel of Jura': The £3.5million Ardfin Estate which contains 'prolific red deer stalking'

‘The Jewel of Jura': The £3.5million Ardfin Estate which contains ‘prolific red deer stalking’

Since 2004, when Mr Coffey began trading, he averaged an annual return to investors of 22 per cent. He became an industry legend.

Whenever he went on holiday he would have his trading terminals deconstructed and flown to his hotel.

He said to be a keen skier and has been known to have a trunk of screens and keyboards sent ahead to wherever he and his family choose to ski.

The hardware would be assembled to allow him to trade through the night while his wife and children slept.

Known for preferring jeans and leather jackets to suits, Mr Coffey graduated with a degree in actuarial studies from Sydney’s Macquarie University then in 1994 started trading.

He joined Moore Capital in the
same year he bought the Scottish estate, and was given the title of
co-chief investment officer of European investing.

Portfolio: Mr Coffey's plush home in West London

Portfolio: Mr Coffey’s plush home in West London

He sprang to prominence in 2008 after being offered a $250million ‘golden hand-cuffs’ deal to stay at his then employer, GLG Partners, where he had run a highly successful trading book.

He turned down the offer in favour of a place at Moore and when he joined Bacon praised him as ‘one of the most impressive traders in the world’.

Last year, he raised more than a billion dollars for a new fund, called GC Moore, branded especially for him.

But following his success Mr Coffey
reportedly struggled to make the sort of staggering gains that earned
him the nickname ‘Wizard of Oz’, a nod to his home country.

This year, outflows saw his funds diminish, to a point where he was overseeing just ‘a few hundred million’, said one investor.

Mr
Coffey relinquished his position as overseeing Moore Emerging Markets
fund this year over disagreements over strategy and lacklustre
performance.

People close to him insisted at the time the shift did not signal a rift between Mr Bacon and his protege.

Mr Coffey’s decision to retire comes after mounting speculation that he was set to leave the fund.

And the news comes amid a general
downsizing at Moore Capital. As reported in August, Mr. Bacon
returned $2 billion to his investors after conceding he was confounded
by the markets.

Mr Coffey has no plans to continue in asset management, according to two people with direct knowledge of the decision.

His remaining funds at Moore will be liquidated and the money returned to investors at the end of November, as reported in the Financial Times.

He joins a long line of investors who have given up managing hedge funds in the past few years.

On his former protege’s departure, Mr Bacon said in a statement as reported in the New York Times: ‘Greg Coffey has been a significant contributor to Moore’s European business, and we are disappointed that he is choosing to retire from the industry. We wish him well in all his future endeavors.’

The comments below have been moderated in advance.

What a wonderful life he has. Enjoy your retirement.

Roseanne Barr
,

Hawaii,
18/10/2012 17:36

Good for him. £430m is more than he could spend in several lifetimes. Enjoy the things that really matter, Greg, you’ve earned them. Well done ( yes, I’m a wee bit jealous)

George_Miller
,

Basingstoke,
18/10/2012 17:33

“Well done and by the looks of it well deserved….Any one of us would do the same if we could afford to
– mememe , Bristol, 18/10/2012 16:57″

Well deserved!!!!
This person is a fine exhibit of all that is wrong with the world today.

Terry
,

Hastings, Argentina,
18/10/2012 17:32

Would anyone object to the person being taxed at 50% ???

Andrew
,

UK unfortunately,
18/10/2012 17:31

That is the way it is well done and good luck to him……………so good looking too

Nicola
,

Wales,
18/10/2012 17:31

His wife is a lucky lady !

ramblinrose
,

wakefield, United Kingdom,
18/10/2012 17:30

He’s been in the industry twenty years so that works out at, what, average of £21m per year? Is anyone who doesn’t save lives or make a difference worth even a tenth of that?

katonggirl
,

Singapore,
18/10/2012 17:27

Getting out before THE collapse of 2013?

Weiss
,

Britannia,
18/10/2012 17:27

Deprives others of what they need . Not a good citizen.
– rosemary , derby, United Kingdom, 18/10/2012 17:00
========================================================================================= In what way has his success deprived you of anything?

StuartT
,

Plymouth, United Kingdom,
18/10/2012 17:25

It was Hedge Funds that brought about the crash of 2008 I would like to say to all those fawning over this man.. Wonder how much tax he has paid..or is it off shore and in schemes that are legal of the “avoidance” kind ?
– MrCravat , Peterlee, 18/10/2012 17:02
========================================================================================= No it wasn’t, and he’s probably already paid more in tax than your entire family will EARN in a lifetime!

StuartT
,

Plymouth, United Kingdom,
18/10/2012 17:24

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