Bloomberg – SPQR Capital LLP, the London-based investment firm co-founded by former Deutsche Bank AG executives, delayed opening a fixed-income hedge fund and may cut as much as half its staff, according to a person with knowledge of the situation. <\/p>\n
“We expect these volatile markets to persist through much of 2008 and as a result, we envisage reducing our cost base in order to adapt to market conditions,” SPQR said yesterday in an e-mailed statement. “Recent months have seen increasingly challenging credit markets and high levels of volatility.” <\/p>\n
Bertrand des Pallieres, Deutsche Bank’s former co-head of principal finance in London, said a year ago he and his colleagues would start the fund to invest in assets such as credit derivatives and collateralized-debt obligations. They also planned to open an investment bank. Des Pallieres couldn’t immediately be reached for comment. <\/p>\n