It Appears That Sometimes It is the Hedge Funds Who are Distressed
Amaranth appears to be holding a fire sale, with J.P Morgan Chase and the Chicago hedge fund Citadel buying up its energy portfolio. Meanwhile Citigroup Inc., which has expressed interest in wading further into the hedge fund waters, is looking for scraps. Amaranth, as you already know, was kicked around by a few bad bets (about $6 billion total) on the energy market. But it also had some other interests. The hedge fund wants to stay solvent, of course lawsuits will likely be the next thing hitting it.
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