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The Securities and Exchange Commission has charged a pair of purported money managers with orchestrating an illegal “free-riding” scheme of selling stocks before they paid for them and netting USD600,000 in illicit profits.
The SEC alleges that Florida residents Scott Kupersmith and Frederick Chelly portrayed themselves to broker-dealers as money managers for hedge funds or private investors, and they opened brokerage accounts in the names of purported investment funds they created. Kupersmith and Chelly then engaged in illegal free-riding by interchangeably buying and selling the same quantity of the same stock in different accounts – frequently on the same day
The US Commodity Futures Trading Commission (CFTC) has filed a notice of intent to revoke or restrict the registration of Raleigh Capital Management, Inc. (RCM), a Chicago, Illinois-based commodity pool operator.
The CFTC’s notice alleges that RCM is subject to disqualification from registration under the Commodity Exchange Act (CEA) based upon the entry of an order for permanent injunction by the US District Court for the Northern District of Illinois on 12 May, 2011 (see CFTC Press Release 6047-11, 1 June, 2011). The court’s order stems from a CFTC anti-fraud enforcement action filed on 28 October, 2009. The CFTC complaint
MarketAxess Holdings Inc, the operator of a leading electronic trading platform for US and European high-grade corporate bonds emerging markets bonds and other types of fixed-income securities, has reported an increase in total revenues for the third quarter of 2011 of 24.5% to a record USD46.6 million, compared to USD37.4 million for the third quarter of 2010.
Pre-tax income was a record USD22.3 million, compared to USD13.5 million for the third quarter of 2010, an increase of 64.9%. Pre-tax margin was 47.9%, compared to 36.1% for the third quarter of 2010. Net income totalled USD13.4 million, or USD0.34 per share
The US Commodity Futures Trading Commission (CFTC) has filed a complaint in the US District Court for the Northern District of Texas, Dallas Division, charging Linda Faye Harris, Chance Domel Harris, CDH Forex Investments, LLC and CDH Global Holdings, LLC, all of Flower Mound, Texas, with solicitation fraud, making false statements, and misappropriation of investors’ funds in connection with the trading of off-exchange foreign currency (forex) contracts.
The CFTC’s complaint, filed on October 25, 2011, alleges that from August 2008 through July 2010, the defendants fraudulently solicited and accepted funds from the general public to trade pooled investments and managed
Butterfield Fulcrum has extended its technology platform by implementing Paladyne ClientLink, a client-facing front-and middle-office solution for fund administrators. This partnership will allow Butterfield Fulcrum to offer a shared technology platform that provides enhanced services across the entire operational workflow of a fund manager.
As well as providing a seamless interface between the fund manager and the administrator, Paladyne ClientLink includes trading and portfolio management tools bundled with a complete daily services offering across the entire trade lifecycle from trade execution and real-time portfolio reporting to cash management and daily reconciliation.
“With the implementation of Paladyne ClientLink, our existing
Sciens Fund of Funds Management Holdings, part of the Sciens Capital Management Group and provider of single- and multi-strategy funds of funds and managed account services, has appointed Rhian Lloyd to the new position of “Chief Operating Officer – Managed Accounts”.
Sciens has also hired both James McNeillie and Filippo Brera to the position of Legal Counsel, also for its Managed Account Platform (MAP).
The appointments follow a recent announcement of the substantial growth in assets under management (AUM) of the MAP since its acquisition from Partners Group. From April 2010 until August 2011, the AUM increased by 73%
Non-commodity funds are now challenging more traditional commodity based Sovereign Wealth Funds and now account for around 40% of assets managed by Sovereign Wealth Funds according to PwC economic analysis of 51 countries.
A PwC report: “The impact of Sovereign Wealth Funds on economic success”, also reveals that countries with Sovereign Wealth Funds could benefit from lower inflation levels, among other benefits that can promote higher economic growth.
Yael Selfin (pictured), head of macro-consulting and a director in PwC’s economics team, says: “We are likely to see further increases in non-commodity funds such as those financed by trade or fiscal
Lombard Odier Investment Managers has appointed Dr Bruce C Turner (pictured), MD, PhD to manage the healthcare portfolio strategy component of its flagship multi-strategy 1798 Fundamental Strategies Fund and Global Equity Long/Short Fund.
Turner brings more than 15 years of healthcare investment experience and formerly managed healthcare portfolios for First Manhattan Co. and Bank of America Merrill Lynch.
Based at LOIM’s New York subsidiary, Turner will report to Aziz Nahas, Limited Partner of Lombard Odier Investment Managers and Chief Investment Officer of the Equities business. Bruce will work closely with team analysts CJ Sylvester and Johan Utterman. Turner is replacing
Hedge fund compensation declined by approximately ten per cent on average across varied functional roles in 2011, according to the 2012 edition of the Glocap Hedge Fund Compensation Report.
Glocap’s compensation data shows a wide dispersion of compensation, between and within firms, driven by a number of variables including role, seniority/experience, fund size and performance for the year.
The total hedge fund industry surpassed previous record levels of total capital under management in both 1Q and 2Q11, reaching $2.04 trillion, before declining sharply in 3Q as the hedge fund industry posted the fourth-worst performance quarter in history, with the HFRI
ALTIN the USD270m multi-strategy fund of hedge funds listed on the London and Swiss stock exchanges, posted a net return of +6.48% in the 12 months to end August, strongly outperforming the HFRI Fund of Funds Composite Index, which returned +3.31% in the same period.
ALTIN is highly diversified, investing in over 35 hedge funds focused on highly liquid strategies.
ALTIN added one new manager to its portfolio in the third quarter of 2011, allocating 1.24% of the ALTIN Fund to Blackwater Capital Management’s managed futures programme. With this addition, the allocation to managed futures within ALTIN currently stands at
