Reuters- A British-based hedge fund sued by U.S. securities regulators for alleged improper trading of U.S. mutual funds said on Friday the lawsuit was "utterly misguided" and that it will fight the charges.
Headstart Advisers was accused of reaping $198 million (100 million pounds) in illicit profits through improper late trading and deceptive market timing of mutual funds several years ago. The suit, filed on Thursday by the Securities and Exchange Commission, was the second in a week against a UK hedge fund over the alleged mutual fund trading practices.
Headstart said the trading activity at issue has already been reviewed by the Financial Services Authority, Britain’s financial watchdog.
