Troubled Canadian hedge fund Traynor Ridge Capital and the funds it manages have been placed in receivership by an Ontario court following the sudden death of its sole director, and the subsequent loss of millions of dollars in failed trades incurred by brokers, according to a report by Reuters.
The Ontario Securities Commission (OSC) stepped in to to stabilise operations at the Traynor last week by issuing a temporary order prohibiting all securities trading by the firm and its three funds after being informed of the death of sole director and shareholder Christopher Callahan.
The OSC revelled on Monday that during the week of 23 October, trades were executed on behalf of Traynor by three firms but their carrying broker could not recapture the costs of the trades leading to losses of between CAD85m and CAD95m.
