Goldman's Global Alpha fund to end 2007 down 60 percent

The so-called quantitative fund, which uses computer models to direct investment, lost value amid a credit crisis which has claimed profits at other major banks, reporter Reuters citing people familiar with the matter.

Goldman has no plans to shut down the fund, one person said.

The fund earned $700 million in fees in 2006, returning nearly 40 percent, according to Bloomberg.

Goldman's fiscal year ends November 30.