Hedge fund manager Absolute Capital Management, which posted a loss in the first half, has cut almost three quarters of its staff and is to close its activist fund amid "poor and deteriorating market conditions".

The hedge fund, which is listed in London and based in Switzerland, made a €1.2m ($1.7m) operating loss for the six months to June 30, compared with a €35m gain for the same period last year. Its revenues slumped to €6m in the first half of this year compared to €62m for the same period last year.