Citadel Investment Group veteran Litowitz launched Magnetar to much fanfare last September (AIN, 7/11/05). After rolling out with $2 billion--the fourth-biggest single-manager launch, ever--the fund returned 5.86% through the end of 2005. Since then it has grown assets by nearly 50% to their current level of $2.9 billion.
Evanston, Ill.-based Magnetar Capital and Milwaukee-based Stark Investments are the Midwest's contribution to the list of big-name hedge fund firms that lost money in June, as the trickle of investment returns from that month nears its conclusion. Stark's $3.1 billion Shepherd Investment International returned -1.25% but the fund can still boast a healthy 8.2% year-to-date return, according to a report by Banque Syz's hedge fund group, a copy of which was obtained by AIN. Alec Litowitz's Magnetar Capital Fund has no such luxury after it returned -2.4% in June, dropping its year-to-date gain to 10 basis points.