Billionaire David Tepper plans to turn his hedge fund into a family office so he can focus on running the Carolina Panthers
- Billionaire David Tepper will reportedly return investor money and turn his hedge fund Appaloosa Management into a family office.
- The fund manages roughly $13 billion, a good portion of which is Tepper's own money. The fund has been active for more than 25 years.
- Tepper plans to spend more on time running his personal fortune and his NFL team, the Carolina Panthers, which he bought in 2018
Another hedge fund industry titan is deciding to move on from the uber-competitive space.
Billionaire David Tepper reportedly plans to turn Appaloosa Management into a family office after more than 25 years. The $13 billion fund, of which 70% is Tepper's own fortune, will return money to investors over an undetermined period of time. The news was first reported by Bloomberg.
Tepper plans to focus on running his own personal fortune, as well as the NFL team he owns, the Carolina Panthers. He joins a fast-growing list of big-shots who have decided to just run their own money, such as Leon Cooperman of Omega Advisors and Jonathan Jacobson of Highfields Capital, who both announced the closure of their funds last year.
Prior to last year, Stanley Druckenmiller and George Soros also made the switch to a family office, and billionaire John Paulson said earlier this year he is considering making the transition as well.
Tepper was one of the few hedge fund managers that was successful in different asset classes and styles, starting as a distressed credit trader before shifting to macro and activism. He is currently involved in a proxy fight with Botox maker Allergen, where he is trying to put someone other than the CEO in charge of the company's board.