Citadel has disputed a Financial Times report that linked staff moves from Hong Kong to possible data security concerns, saying the changes were part of its broader “global colocation strategy to bring teams closer together”.
In a response given to Private Banker International, the US hedge fund said the article was based on “incomplete facts from sources with limited knowledge”.
The FT reported that some members of Citadel’s Hong Kong-based global quantitative strategies team were told in recent months they would need to relocate or leave the firm.
Citing people familiar with the matter, the newspaper said some researchers moved to Singapore or Miami, while others departed.
The report said Citadel’s global quantitative strategies unit is central to its trading operations, and that some people familiar with the moves believed data security concerns may have contributed to the relocation of staff handling sensitive intellectual property.
Citadel rejected that explanation.
The firm said its global quantitative strategies business in Asia has teams in both Hong Kong and Singapore and that it continues to recruit quantitative researchers in both cities.
“In Asia, Citadel’s Global Quantitative Strategy business has teams in HK and Singapore. We continue to hire QRs in both locations – if we had data security concerns, we wouldn’t be adding more people to the existing team in HK,” the statement added.
Citadel also said it had explained to the FT that the moves were linked to its wider co-location approach.
“We explained to the Financial Times at length that the rationale for these moves is part of our overall global colocation strategy to bring teams closer together,” the statement read.
It added that the relocation requests were not limited to Hong Kong. According to the company, a small number of employees across the US, Europe and Asia had been asked to move so they could work in the same office as their teams.
“As part of a global effort GQS had asked a small number of people not just in HK but across the US, Europe and Asia to move to a different office so that they could be in the same location as their teams. It’s natural that some people may not be able to move immediately for various reasons, and we always do what we can to accommodate their needs,” Citadel said.
“Citadel denies report linking Hong Kong staff moves to data security” was originally created and published by Private Banker International, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
