Hedge Fund Executive’s Sudden Death Exposes Firm in Deep Trouble

The bonhomie was flowing inside the Great Banking Hall in Toronto as the city’s hedge fundbarons arrived to toast their success and themselves.

Among the guests of honor on that Tuesday night last month: Chris Callahan, whose firm was to be celebrated for top-notch performance.

He didn’t show. A little more than a week later, he was dead.

Friends and associates are stunned. And, to the industry’s shock, authorities are in the process of untangling what happened to the young trader and his once-high-flying investment firm.

Officials haven’t disclosed a cause of death — police say it wasn’t ...