Mixed performance in the investment strategies of GLG Partners contributed to almost $1bn (€736m) being wiped of the value of client assets during the first quarter, forcing the UK hedge fund to renegotiate the terms of its outstanding debt with senior creditors.

Assets under management at the group fell from about $15bn to roughly $14bn during the first three months of the year, according to its first quarter results released yesterday, representing a 43% fall from the $24.6bn GLG managed a year ago.