(Adds details about fund's activities)
NEW YORK Aug 18 Hedge fund SageCrest Finance
LLC, which once invested roughly $900 million, has filed for
Chapter 11 bankruptcy protection.
The Greenwich, Connecticut-based fund, managed by Windmill
Management LLC, describes itself as a "credit opportunity fund"
that provided short-term debt to companies, according to its
website. People familiar with the fund, which once counted
Russell Investments among its clients, said it has has been
battered by losses in the debt markets plus mounting lawsuits.
In its bankruptcy petition filed on Sunday in U.S.
bankruptcy court in Connecticut, the fund listed assets of $50
million to $100 million and debt in the range of $1 million to
SageCrest is the latest in a growing number of hedge funds
to face losses in the wave of soured bets in the credit market.
In the first seven months of the year, the average hedge fund
lost 3.54 percent and managers and investors at various funds
have said that many clients are pulling their money out of
(Reporting by Emily Chasan; Additional reporting by Svea
Herbst in Boston)