End-user of the year: Hedge fund BLUEMOUNTAIN CAPITAL MANAGEMENT

Risk Awards 2006


Correlation traders have endured one of the toughest trading environments of any market in recent years. Both hedge funds and proprietary trading desks suffered millions of dollars in mark-to-market losses as idiosyncratic risk and technical flows caused commonplace hedging strategies to come unstuck. Like other participants, New York-based hedge fund BlueMountain Capital Management found the market challenging, and on occasion punishing. But the $2.5 billion fund's use of fundamental credit