Hedge fund Lonestar shutting down

Lone Star
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Lonestar Capital Management, a $1 billion hedge fund based in San Francisco, is shutting down, according to The Wall Street Journal

A person answering the phone at Lonestar's office said he could not comment on the planned closure or the letter.

Past investors in Lonestar funds include the Gordon and Betty Moore Foundation, J.S. Foundation (run by hedge fund manager Scott Fearon), and Greenlight Capital's fund of hedge funds, Greenlight Masters. All three did not immediately respond to requests for comment.

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In a letter to investors, founder Jerome Simon called it a "bittersweet moment" and said he was disappointed by recent performance, according to the report. It said the shutdown will be complete by the middle of next year.

Lonestar was founded in 1995 and invests in stocks, bonds and other types of securities, including commodity futures, according to regulatory filings.

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