DE Shaw axes 10 percent of workforce

DE Shaw, one of the world”s biggest hedge fund managers, has cut up to 10 per cent of its workforce or about 150 people, says a media report.
Significant job cuts have been announced in New York and London, the Financial Times reported citing people familiar with the matter.
The firm, which currently employs around 1,500 people globally, has a significant presence in India. DE Shaw India Software Pvt Ltd is an entity in the DE Shaw group.
The move comes amid one of the hedge fund industry”s most disappointing years on record and reflects the degree to which even the largest managers have struggled to maintain their profitability.
According to Hedge Fund Research, the average hedge fund has returned just 1.45 per cent so far this year.
The cuts at DE Shaw, some of the deepest in the firm”s history, follow a strategic review undertaken by management as a result of large investor outflows this year.
The hedge fund firm founded by David Shaw has suffered an estimated USD 7 billion in redemptions over the past few months, the report said citing investors.
As of September 1, the firm managed about USD 21 billion across its range of funds.
According to the publication, a spokesperson for DE Shaw declined to comment.

Source:  MSN