Blackstone largely sticks with SAC Capital, gets better terms
(Reuters) - Blackstone Group, one of the world's most powerful hedge fund investors, is largely sticking with Steven A. Cohen's SAC Capital Advisors but has negotiated more favorable liquidity terms, spokesman Peter Rose said in a statement.
The news came on the day investors had to notify Cohen's $14 billion fund whether they were sticking with him or leaving as the firm faces heightened scrutiny in the government's insider trading investigation.
Sources said Blackstone had roughly $550 million invested with SAC, making it the largest outside investor in Cohen's fund.
(Reporting by Matthew Goldstein and Svea Herbst-Bayliss; Editing by Phil Berlowitz)