Hedge fund Millennium withdraws investment, partnership with Engineers Gate ends

Millennium Management is now withdrawing the funds previously entrusted to Engineers Gate for trading. The two hedge fund companies have agreed to end their partnership of over three years. Sources familiar with the matter revealed that Engineers Gate will cease managing funds for Millennium by the end of the month. A person requesting anonymity due to the non-public nature of the details stated that both parties agreed to dissolve this separately managed account. One source mentioned that Engineers Gate wanted the funds in this separate account to have the same liquidity terms as its own funds, including allowing quarterly redemptions in normal market conditions and potentially setting redemption limits at the investor level during periods of stress. Negotiations were held on restructuring the partnership, but they could not reach an agreement on these liquidity terms. One source mentioned that as of March 20th, Engineers Gate's hedge fund had risen by 50 basis points, but it had fallen by approximately 7% so far this year.