According to a June filing with the US Securities and Exchange Commission, a net $1.6 billion was divested from SkyBridge Multi-Advisor Hedge Fund Portfolios over the last fiscal year ending on March 31.
This is the first time fiscal year-end outflows have exceeded inflows at the $5.4 billion fund since 2007.
The fund was acquired and founded by Trump administration prospect Anthony Scaramucci from Citigroup Inc. in 2010. Scaramucci sold his stake in SkyBridge Capital earlier this year in hopes of a Public Liaison position with President Trump’s cabinet— a role ultimately given to George Sifakis. Scaramucci is currently waiting to hear confirmation for a role with the Trump administration as an ambassador to the Paris-based Organization of Economic Cooperation and Development. Within five years, Scaramucci invigorated SkyBridge, turning the company from a $666 million fund to a whopping $7.2 billion.
The buyers of Scaramucci’s, along with CIO Ray Nolte’s, SkyBridge stakes, are a financial-services unit of China’s HNA Group Co and RON Transatlantic EG.
According to Bloomberg, a SkyBridge spokeswoman confirmed shareholder approval for the sale, which is scheduled to be finalized sometime this year.
According to regulatory filings, SkyBridge’s assets under management or advisement dropped from $12.6 billion to $11.8 billion. The annual management fee is 1.5%. Discretionary assets, which includes funds-of-funds, fell from $9.2 billion to $7.7 billion. Non-discretionary accounts rose from $3.4 billion to $4.1 billion. Non-discretionary fees range from 0.1%-0.75%.
Despite the decline, the firm took home $27 million in operating income, according to Bloomberg.
Tags: Scaramucci, Sifakis, SkyBridge