Fund manager's fun sailing away, ahhhhhhh


Hedge fund manager John Devaney is looking to sell 142-foot yacht for $23.5 million after bad bet on subprime mortgage assets.

A hedge fund manager whose fund ran into trouble from the sell-off in securities backed by subprime mortgages is having to put his huge yacht up for sale, seeking $23.5 million.
John Devaney, the CEO of United Capital Markets, a fund that specializes in buying and selling bonds that are backed by the mortgage payments, particularly adjustable rate subprime mortgages, has put his 142-foot yacht "Positive Carry" up for sale, according to a yacht broker's Web site (maybe the yacht should be renamed "De-fault"). Devaney's fund has run into trouble lately. A spokesman for the firm told Reuters on July 3 that it had stopped honoring request from some of its investors for redemptions, or withdrawal, of investments.
The market for assets backed by subprime mortgages has taken a huge hit over the last two months, causing large losses by some top Wall Street firms, including Bear Stearns.