Diamondback Duo Starts Long-Short Hedge Fund With $1 Billion

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Rich Schimel and Lawrence Sapanski have started their new hedge fund with $1 billion in commitments seven years after shutting their previous firm, according to an email sent to investors.

Like Diamondback Capital Management, the duo’s Cinctive Capital Management is a long-short stock fund that uses multiple trading teams, each focusing on a specific sector. The firm has 11 teams and more than 20 investment professionals and plans to hire more people, said a person with knowledge of the matter, who asked not to be named because the information isn’t public.