Anchorage to Close $7.4 Billion Hedge Fund as Ulrich Era Ends

Kevin Ulrich’s two-decade run at the top of Anchorage Capital Group is over.

The co-founder of what was once among the world’s biggest distressed-debt hedge funds said he’s closing the flagship vehicle and ceding his day-to-day role as chief executive officer, after years of client withdrawals and uncooperative markets.

The unwinding of the $7.4 billion fund, which managed almost twice that amount just a few years ago, is one of the most prominent and largest hedge fund closures this year.

Kevin Ulrich

Photographer: Rodin Eckenroth/Getty Images

In a letter Wednesday, Anchorage told clients it will focus on its lower-fee, $18 billion structured-credit business and ...