Back in December 2014, the start of the worst oil rout since the financial crisis claimed its first victim when 113 year old Phibro, then owned by Occidental Petroleum after its sale by Citigroup, would liquidate in the US after it failed to buy a buyer. Phibro, of course, was made famous or perhaps infamous (after his $100 million Citi bonus in 2008 prompted a Congressional inquiry) by its star employee, “oil god” Andy Hall. Yet while said god’s employer Phibro, was liquidating and thus ending one of Hall’s paychecks, Hall would continue managing his $3 billion hedge fund Astenbeck (of which Occidental owns 20%) where he worked in parallel.
At the time we wondered how long this oil permabull – who suffered tremendous losses in the ensuing two years – would last in an environment where oil prices refused to go up, and whether he would blow up twice on the same trade. Turns out the answer was “yes” and “about 2 and a half years”, because moments ago, Bloomberg reported that Hall is shuttering his main Astenbeck hedge fund:
- OIL TRADER ANDY HALL IS SAID TO CLOSE MAIN ASTENBECK HEDGE FUND
- ASTENBECK MASTER COMMODITIES FUND II IS SAID TO LOSE 30% IN 1H
Oil, sending imminent liquidation, is down on the news.