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To: Perspective who wrote (84)	12/3/2008 4:37:16 PM
From: DebtBomb	Respond to of 442

Fortress Halts Drawbridge Global Fund Withdrawals (Update1) By Bob Ivry Dec. 3 (Bloomberg) -- Fortress Investment Group LLC, the private equity and asset manager, halted redemptions from its Drawbridge Global Macro hedge fund after investors asked to withdraw $3.51 billion by year-end. The withdrawal requests include $1.5 billion in notices disclosed last month, the New York-based company said today in a filing with the U.S. Securities and Exchange Commission. Fortress didn’t say when it would resume allowing investors to get their money back. Fortress announced its first quarterly loss last month since going public in February 2007, joining rivals Blackstone Group LP and KKR & Co. LP in cutting the value of assets to match a global decline in prices. The fund had $8 billion as of Sept. 30, so the requested withdrawals amount to more than 40 percent of the money pool, according to Roger Smith, an analyst with Fox-Pitt Kelton Cochran Caroni in New York. “It’s tough to tell if they’ve done anything wrong,” said Smith, who has an “in line” or neutral rating on the company. “The fund doesn’t look to be a terrible performer relative to the industry, so I’m not sure if this was based on performance alone. It’s more symptomatic of what you’re seeing in hedge funds across the board.” The fund had lost 12 percent since the beginning of the year, including a 10 percent drop in the third quarter, Smith said. “Hopefully they are putting up the gates to preserve capital and hopefully get their investors more money than they would if there were forced sales,” Smith said. Shares fell 74 cents, or 30 percent, to $1.76 at 1:53 p.m. in New York Stock Exchange composite trading. They have fallen 69 percent since the initial public offering in Feb. 2007. bloomberg.com