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Division in the Soros family

George SorosA son of billionaire George Soros separates a part of his wealth from the Soros Fund Management, a company managing family assets, to manage it himself, according to sources close to the situation. Jonathan Soros, who gave up September his involvement in the management of daily activities of the Soros Fund, intends to employ at least one of his father’s trusted people, sources said. Soros’s son wants to set up his own family office, although Soros Fund turned in such investment vehicle last year, with the help of David Kulsar, currently risk director of Soros Fund.

“Jonathan wants to manage some money, so Soros Fund helped him”, said one source. Jonathan Soros was employed at the office of a federal judge before joining his brother Robert in 2002 to supervise the operations of the investment fund of the family. George Soros has five children. There are no signs of a conflict between father and son, writes Reuters, but the change comes after a year when there were major changes and big losses at the investment company with assets of $25 billion that Soros founded.

Last summer, Soros Fund announced that will return to investors about one billion dollars and will turn into a family office. The change allowed the company to avoid the March 30 deadline for registration to the U.S. as investment manager.
The company mostly manages the money of George Soros, his family and foundation set up by him. Changes have continued with the return in September in the company of Scott Bessent, a former pupil of George Soros, who took over supervising the operations from the billionaire’s sons, Jonathan and Robert.

Also, 2011 was a difficult year financially for the Soros Fund. The main investment vehicle, Quantum Fund, has lost about 15% of its value, sources said. In the same year, hedge funds fell an average of 5%. Soros became well known after making a record profit of one billion dollars in a single day betting against the sterling pound in 1992.

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