Weinstein Said to Exit London Whale Bets as JPMorgan Unwinds
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Boaz Weinstein’s Saba Capital Management LP, which profited by betting JPMorgan Chase & Co. trader Bruno Iksil was distorting prices in a credit-derivatives index, has exited the trades as the bank unwinds its positions, according to a person familiar with the matter.
Weinstein, 39, was among hedge-fund managers who exploited gaps between the price of the index and its members created by Iksil’s outsized bets that earned him the nickname London Whale. Saba’s main $5 billion fund has returned 2.3 percent this year through June 22, said the person, who asked not to be identified because the trades are private. That compares with a 1.1 percent gain in Hedge Fund Research Inc.’s HFRX Global Hedge Fund Index.