Hedge Funds Roll the Dice

If there is a credit crisis paralyzing some parts of the hedge fund industry, you would not have noticed it last night at Sotheby's.

High Water Women, a foundation established by women in the hedge fund industry, hosted its third annual Casino Night fundraiser last night at the auction house. The estimated total amount raised was "more than $810,000," according to its interim executive director Marina Winton. That bested last year's fundraiser, which brought in $750,000.

The group raises money to assist charities focused on needy families in the New York area, including Women in Need, Bottomless Closet, and Iris House.

Last night's event began with blackjack and cocktails and moved onto a high-stakes Texas Hold 'Em tournament ($2,000 for a seat, or a minimum of $15,000 for a table of 9) with full dinner service. As the big tourney winner, Andrew Lai from Mezzacappa Management chose a pair of diamond earrings as his prize. He beat out runner-up Heather Howes of Corbin Capital, who won a weekend trip for two to Santa Fe, New Mexico.

There was one indication that, even at the high-income level of the attendees, there are signs of a slowdown in consumer spending. A brief auction of four luxury getaways had more awkward silences than any auctioneer cares to hear.

The first item, a sports package including a box in New York Yankee Stadium for 20 people and a sports-filled trip to Las Vegas, opened at $10,000 and closed two bids later at $12,000, despite the auctioneer's claim that it's worth $20,000.

Next up was a one-week stay in Buenos Aires for four in a 5,000 square-foot apartment with a personal chef. After opening at $15,000 to no interest at all, the first bid was lowered to $10,000. Once the auctioneer added one small detail he failed to mention initially--that the package includes private tennis lessons with Guillermo Vilas--the bidding picked up momentum before eventually ending at $19,000.

But the least interest of all came in response to a luxury weekend in New York City, which is understandable considering most guests already live in the area. Bidding opened and closed at $10,000 with one bid.

Who wants two nights at the Loews Regency when you can rest your head on a pillow in a mansion in Greenwich?

By Megan Barnett

Some pictures from the event. Photographs by Jonathan Fickies.

(left) High Water Women Foundation President Kathleen Kelley, with Kingdon Capital Management
(right) Janice Ellig, co-CEO of Cadick Ellig research firm, throws dice at the craps table

Peter Venetis (R) and Dean Schaffer (2nd R), both of PanAmerican Capital Partners, play the blackjack table

(L-R) Kathleen Kimko, of Berens Capital, Lauren Poile and Donna Holmes, both of Tremblant Capital Group, play the blackjack table

MeeHyun McDonald, with Galtere International Fund plays blackjack

William Friedman, CEO of Tarragon Corp.

Greg Kraut, with CB Richard Ellis, pumps his fist as he play the blackjack table

Tyler Stevens, with Commonfund, watches the dice roll