Jacob Gottlieb, healthcare investment mogul and former founder of Visium Asset Management, now has a new company, Altium Capital, according to Chronicle of the Week.
Altium presents a fresh start for Gottlieb, who shut down Visium after an insider trading scandal conducted by rogues within the company. While Gottlieb himself emerged unscathed, he ended Visium and hopes to start fresh with Altium.
Gottlieb is a natural-born investor. After an attempt at a medical career, earning an M.D. from the NYU Medical School and completing an internship at St. Vincent’s Hospital, he quickly began pursuing a career in Wall Street.
Gottlieb began his career working at Sanford C. Bernstein & Co. before leaving to pursue his career as a healthcare portfolio manager at Merlin Biomed Group. He then moved to Balysany Asset Management, where he became the firm’s highest earner. It was after working at BAM for several years that he left to start Visium in 2005.
Gottlieb’s founding team included colleagues and relatives, and his reputation helped to earn investors’ trust with ease, raising $300 million in seed money. Gottlieb personally oversaw the recruitment of Visium’s portfolio managers, who helped Visium reach its peak with a fund of $8 billion, as well as 170 employees in offices located in New York, San Francisco, and London.
After a decade of success, the company was rocked by a scandal in 2016 involving three employees who were involved in mismarking securities and insider trading that artificially inflated returns, resulting in millions in inflated management and performance fees. This led to widespread panic within the company, and because of these charges – and the loss of employees and capital – Gottlieb shut Visium down.
Gottlieb is now focused on Altium, which has opened an NYC office thanks to his reputation as a top healthcare investor and his professional network. He has begun building the company’s portfolio with investments in Oramed Pharmaceuticals Inc. and Sellas Life Sciences, whose products could disrupt the medical and pharmaceutical fields if they get FDA approval. These first investments are strategic moves by Gottlieb to help grow his new company.