have been aggressively moving into ... cash. A number of the
largest U.S. firms are holding cash balances or have markedly
decreased leverage in response to uncertainty about the
direction of markets-which may have helped them during the
extreme volatility in August.
Regiment Capital Management in Boston had 60% in cash in
July, according to investors, and Balestra Capital had built up
as much as 65% in cash around the same time. Meanwhile, King
Street Capital Management, which started 2011 with roughly 60%
of its $19.5 billion in cash, is slowly reducing its
"People are losing money, so managers...