×

Everest Capital falls victim to Swiss franc, shutters largest fund: Report

People queue outside a currency exchange office in Geneva, January 15, 2015. The Swiss National Bank scrapped its cap on the franc on Thursday sending the safe-haven currency crashing below the 1.20 per euro floor it set over three years ago.
Pierre Albouy | Reuters
People queue outside a currency exchange office in Geneva, January 15, 2015. The Swiss National Bank scrapped its cap on the franc on Thursday sending the safe-haven currency crashing below the 1.20 per euro floor it set over three years ago.

Switzerland's unexpected decision to allow its currency to float freely once more against the euro may have claimed another victim—Everest Capital's Global Fund.

Bloomberg News, citing a person close to the firm, reported Saturday that Everest's $830 million fund, its largest, took a bath after the Swiss National Bank unyoked the franc from Europe's single currency this week. The Miami-based firm is run by Marko Dimitrijevic, a hedge fund veteran who has a long history in turbulent emerging markets.

The SNB's decision to remove the three-year-old peg, a legacy of Europe's debt crisis, left a number of financial firms reeling. One of the worst hit was retail currency trading firm FXCM, which was forced to take a $300 million lifeline from Leucadia National. Major Wall Street banks like Citigroup, Deutsche Bank and Barclays also took a hit.

As recently as last January, the European Central Bank ranked FXCM as the world's third-largest retail foreign exchange broker.

Reached by CNBC, a representative for Everest Capital declined to comment.

Bloomberg's full report can be found here.

--CNBC's Kate Kelly contributed to this article.