Michael Milken’s Family Office is Now a Hedge Fund and is Accepting New Money

The former prison inmate, Michael Milken, is going to open his family office of $2 billion of personal and family funds to the public, so it can become a hedge fund.

How wonderful.

Silver Rock Chief Investment Officer Carl Meyer, a former Citigroup Inc. executive, will control the new firm and have a staff of about 10 executives, the newspaper said. Until recently, the family office was based in the same building as Mr. Milken’s office in Santa Monica, California, but the executives leased new space in Los Angeles when they formed an independent entity on March 25, according to the Journal.

The executives had been managing more than $2 billion for Milken and his family in junk bonds and distressed loans, along with stocks, the Journal said. The firm has run into challenges recently because of poorly timed energy investments and Milken’s insistence to hold a large cash allocation, according to the newspaper.

Don’t worry, Milken will not be managing the fund or have anything to do with it, according to Carl Meyer. Oh, and that last sentence that says the family office fund has sucked balls due to shitty energy investments and Michael’s insistence that the fund hold a large cash position should be ignored by all those interested in sending money to this new venture.