Caxton Associates, the New York-based trading and investment firm founded by hedge fund legend Bruce Kovner, is buying a minority stake in Wadhwani Asset Management, a leading London global macro invesors. Under the agreement, Dr. Sushil Wadhwani, the firm's founder and a former member of the Bank of England monetary policy committee, will become a Caxton partner.

“It is a privilege to be joining forces with Caxton, one of the world’s most successful hedge funds”, said Wadhwani. “I look forward to learning from, and sharing my ideas with, Caxton’s experienced network of traders and investment professionals, including founder Bruce Kovner, and to working closely with Andrew Law, Caxton’s Chief Investment Officer.”

 
Under the agreement, Wadhwani AM will be responsible for managing what it termed “a meaningful notional capital allocation” for Caxton Global Investments. This allocation from Caxton's flagship global macro fund will be run in parallel with the existing Keynes funds run by Wadhwani AM. In total, Caxton vehicles manage over $11 billion.
 

“We have had a relationship with Wadhwani AM for some time, and I have known Sushil personally for the better part of a decade.” said Law. “We look forward to leveraging his tremendous background, experience and talent in economic analysis.”
 

Wadhwani AM will relocate to Caxton’s London office at Berkeley Square from the City. A leading British economist, Wadhwani is a former director of equity strategy at Goldman Sachs and has been a partner in the UK arm of Tudor Corp, the US-based macro investor.