Moore Manager Jumps Ship!

Greg Coffey

If it wasn't enough that Louis Bacon, head of Moore Capital Investments, has to swallow a big pill and dish out $2 billion to investors who trusted his purse this year, he is now losing one of the most critical components in the company.

Greg Coffey spent decades in the hedge fund business, but after four years helping to build Bacon's empire, he found the demands of his job at Moore overwhelming.  The 41 year-old Australian financier oversaw several portfolios from Moore's London office.  He told reporters that he could no longer dedicate himself to the global markets the way he had in the past.

This added another snowball to the avalanche happening within the Moore Capital Investments structure.  When Bacon announced the $2 billion payback to investors due to poor performance, eyes peeled open at the gaping hole in hedge fund which once withheld a solid image.

But the image started breaking down long before then.  No one could forget when newspaper headlines all over the world blasted the embarrassing revelation that Moore Capital was one of several companies caught up in a multi-billion dollar international hedge fund scam.

Louis Bacon

The gaping holes only deepened when Bacon announced after the payback, that he would be downsizing.  He got rid of more than a dozen faithful employees who had served the company for years.  Despite that dedication, they felt a slap in the face when the boss hired his older brother, Zack Bacon III, to do the dirty work.  Zack was responsible for breaking the bad news to employees who didn't have the opportunity to ask any questions to the boss they were supposed to have some kind of relationship with.

But this is the cold, callous nature of Bacon, which has been documented by many reporters, including one who sat down for what was supposed to be a brilliant and positive expose for Bacon in Forbes magazine.

With Coffey now jumping ship despite being one of the most well-known and efficient hedge fund managers, critics are wondering if such a move signals a lack of confidence in the Bacon empire.  Indeed, if Coffey is willing to make such a drastic decision just to detach himself from Moore Capital, it may be a signal, like the thunder before torrential rains, that more gaps may be opening to reveal the truth about what is really going on in Bacon's strange world.