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No Fare: Amaranth Crash Drives Down Biz

Investors were not the only ones hurt by the collapse of Amaranth Advisors, even as the man supposedly behind the huge losses reportedly is looking to re-enter the field.

Investors were not the only ones hurt by the collapse of Amaranth Advisors, even as the man supposedly behind the huge losses reportedly is looking to re-enter the field. The sad state affairs at the Greenwich, Conn.-based hedge fund has driven down business for at least two local taxi companies, a tale of woe that lends urgency to Conn. Governor Jo Rell’s campaign to keep former HF workers local. According to New York TimesDealbook, Amaranth was one of Central Taxi’s top customers, as they shuttled staffers daily trips of $20 fares between the closest train station and firm headquarters. Then there’s the extra-nice cab trips worth $40 to Stamford and $90 airport fares. “We were doing very well,” Steve Talley of Central Taxi told Dealbook. “We watched them grow, and they keep growing and growing.” Since the collapse, there’s been a lot less Amaranth-bound traffic. “Now I think we’re bringing lawyers, helping to close the company, I think,” Talley said. Meanwhile, there’s good news for staffers of Amaranth in Canada. As rumored earlier this month, Amaranth partner Mano Vourkoutiotis will head a new Toronto office of Moore Capital Management called Moore Canada, and he’ll have with him nine former colleagues. Lipper HedgeWorld says he is the only Amaranth partner to make the move, and sources say Randall Yasney, a senior staffer at the collapsed firm, has joined as a fund manager. According to Bloomberg News, none of the new staffers are from Amaranth’s Calgary office, where trader Brian Hunter – the force behind the losses – was based. The new firm also will not dabble in commodities but will trade equities, convertible bonds and high-yield debt, and offer long/short equity, convertible arbitrage and distressed debt. Meanwhile, rumor has it that Hunter is looking to start all over again – in energy trading no less. The Wall Street Journal, citing people familiar with the 32-year-old once wunderkind, says recruiters have been introducing Hunter to investors to gauge whether there is sufficient interest in entrusting their money to him – again.

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