By Drew Adams
Murray, KY – A Connecticut-based hedge fund that held $100 million in investments by Kentucky Retirement Systems has failed and will shut down. Kentucky Retirement Systems Chief Investment Officer T.J. Carlson says Arrowhawk Capital Partners couldn't raise enough money from investors to succeed. Carlson says the retirement system expects to get its $100 million back as Arrowhawk carefully disposes of its portfolio. KRS oversees $13 billion in retirement funds for state and local government employees. The decision to invest in Arrowhawk came under scrutiny last June when state Auditor Crit Luallen linked the fund to a middleman who received about $6 million in fees for arranging the investments.