Yet another American hedge fund is being closed to outside investors and converted to a family office.
In the wake of new Securities and Exchange Commission rules, Millbrook Capital Management is closing its only hedge fund and will instead become a family office for its founder, John Dyson.
In July last year, George Soros became one of the first investors to close his hedge fund, Soros Fund Management, to outside investors because of the new regulations, which make it necessary for hedge funds to register with the SEC.
However, private family offices are exempt so long as they meet a number of requirements.
Millbrook was founded by portfolio manager Clay Lifflander and Dyson, a private equity veteran and former New York State commerce commissioner, in 1996. It opened to outside investors in 2002.
Millbrook has not responded to a request for additional comment.