GLG Partners has hired two senior traders from Morgan Stanley to replace Greg Coffey, the hot-shot fund manager whose surprise resignation prompted $2bn of redemptions from London’s second-biggest hedge fund group, which manages $24bn.

Bart Turtelboom and Karim Abdel-Motaal, former global co-heads of emerging markets trading within fixed income at Morgan Stanley, will take over three of Mr Coffey’s funds, including his $4.6bn flagship, when he leaves at the end of October, according to people familiar with their exit from the bank.