Fortress Unit Risk Officer Said to Exit After Macro DropDavid Carey
Fortress Investment Group LLC executive Sherif Sweillam is leaving the firm after its main macro hedge fund fell 7.6 percent in one week when movements in the Swiss franc roiled markets, a person familiar with the matter said.
Sweillam, chief risk officer of liquid markets at the New York-based private equity and hedge fund manager, has resigned, according to the person, who asked not to be identified because he wasn’t authorized to speak publicly on the matter. Money manager Tye Schlegelmilch also is leaving the firm, according to the person.
Sweillam referred questions to the firm, and Schlegelmilch didn’t immediately return an office voice-mail message requesting comment.
The person declined to say whether the resignations, which Reuters reported earlier today, were connected to the fund’s loss. The franc soared as much as 41 percent against the euro on Jan. 15 after the Swiss National Bank’s surprise decision to remove a three-year-old cap, prompting hundreds of millions of dollars in losses at hedge funds and European banks and pushing some currency-trading firms into insolvency.
Sweillam joined in October 2013 as deputy president and chief risk officer of the liquid markets business and as a member of the firm’s management committee, according to Fortress’s website. He previously worked for Tudor Investment Corp., the hedge fund management firm led by Paul Tudor Jones.
Schlegelmilch had worked at Fortress since last year. The firm was appointing him to co-head a global equity group housed within Fortress’s liquid hedge fund unit, Bloomberg News reported in December.
That unit, overseen by Michael Novogratz, had $7.5 billion in assets at the end of September, including $3.1 billion in the macro strategy.