A TV business journalist bets, and loses, when running a hedge fund

Andrew Ross Sorkin of the New York Times takes a look Tuesday at the attempt by former CNBC anchor Ron Insana to start his own hedge fund. Insana announced recently that he’s closing his fund and joining another money manager.

Sorkin writes, “In the end, the rock was simply too heavy for Insana to keep pushing uphill. On Aug. 8, he sent a letter to investors explaining why he was closing shop.

“‘Our current level of assets under management, coupled with the extraordinarily difficult capital-raising environment, make it imprudent for Insana Capital Partners to continue business operations,’ he wrote. He said he planned to take a job with his friend Cohen at SAC. Insana declined to comment for this column.

“In truth, there are thousands of Insanas desperately trying to raise money from nondescript little offices around the United States. Some of them raised $10 million, some raised $100 million or more. And, as money has gotten tighter, and the bloom has come off the hedge fund rose, some have raised none at all.

“Although the big boys get most of the ink, Insana’s is a far more common story — and far more representative of what is happening in the land of hedge funds today.”

Read more here.