Whitebox Equity Head Jason Cross to Leave Redleaf's Firm

  • Spent 14 years at Minneapolis company that oversees $4 billion
  • Money manager Karos will take post, clients told in letter

Whitebox Advisors equity head Jason Cross is resigning from the hedge fund and mutual fund company where he’s worked for 14 years.

Cross will leave Minneapolis-based Whitebox on Dec. 15, the firm said Monday in a letter to clients, a copy of which was obtained by Bloomberg.

Paul Karos, an equity portfolio manager who joined the firm in 2012, will replace Cross. Cross didn’t immediately return a call seeking a comment.

Whitebox, which manages about $4 billion and was founded by Andy Redleaf 15 years ago, lost about 42 basis points, or 0.42 percent, in its main multistrategy fund this year through October, according to an investor.

Whitebox told investors in August that it agreed to sell a minority stake in the firm to a private equity fund run by Neuberger Berman Group.

(An earlier version of this story corrected the firm’s assets under management.)

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