Philip Richards: The hedge fund star who crashed to earth

Some of the world’s richest businessmen, including the steel billionaire Lakshmi Mittal, had entrusted their money to Richards, and for a while he had rewarded them royally. RAB’s Special Situations fund led a flood of small mining and oil companies to London’s Alternative Investment Market (AIM) and became the single biggest investor in the junior market, with sizeable stakes in more than 70 companies. Richards made billions for his investors, while several Christian charities benefited from the huge bonuses he was receiving.

Today the $900m RAB Special Situations fund faces the threat of being liquidated unless investors agree to lock in their money for three years.