| BOSTON, June 12
BOSTON, June 12 The chief investment officer at
Viking Global Investors, one of the world's biggest hedge funds,
is leaving and the firm plans to return $8 billion in capital
this summer, it said on Monday.
Dan Sundheim has worked at Viking, which oversees roughly
$30 billion, for 15 years and been sole chief investment officer
since 2014. Firm veterans Ben Jacobs and Ning Jin will become
co-chief investment officers, the firm told investors in a
letter sent on Monday.
Sundheim's departure comes just months after the prominent
hedge fund's flagship portfolio suffered its biggest annual loss
ever in 2016 and founder Andreas Halvorsen told investors in
January he was shifting the way capital was allocated.
The firm will return money from the Viking Global Equities
LP and the Viking Long Fund LP funds, according to the letter.
Many hedge funds have struggled to deliver top returns in
the last few years and some industry analysts suggest they might
perform better if they had less capital to invest.
A number of large hedge fund managers, including David
Tepper and Seth Klarman, have returned capital to investors from
time to time if they were not seeing new investment
Sundheim is leaving to pursue his own business interests,
the firm said.
"(Sundheim) is in a league of his own as a stock picker and
portfolio manager," according to the letter, which was read to
Reuters. The 40-year-old Sundheim became sole chief investment
officer in 2014 after having shared the position for several
years with Tom Purcell.
Sundheim's departure was first reported by Bloomberg.
(Editing by Jeffrey Benkoe)