Melvin Capital to Shut after Heavy Loss
Melvin Capital, once one of Wall Street's most successful hedge funds which then lost billions in the meme stock saga, will shut down after it was hit again by this year's market slump.
Gabe Plotkin, widely regarded as one of the industry's best traders after posting years of double digit returns, told investors that the last 17 months have been "an incredibly trying time."
Plotkin had been trying to turn around the firm after being caught out in early 2021 betting against..
..retail favorite GameStop (GME) and after being wrong footed again by tumbling markets this year.
Melvin Capital had $7.8 billion in assets at the end of April.
The fund lost 23% in the first four months of 2022, a person familiar with the fund's finances said.