Monthly Archives: August 2011
Hedge Fund Fraud: $291.8 Million Guilty Plea
New York (HedgeCo.net) – The manager of the now defunct Chicago hedge fund, Lake Shore Asset Management, has pleaded guilty to a fraud scheme, Reuters reported today. “Baker from 2002 to September 2007 obtained the $291.9 million from about 900 […]
WaMu Creditors, Shareholders Make Arguments on $7 Billion Bankruptcy Plan
Bloomberg – Washington Mutual Inc. creditors and shareholders made final arguments for and against the company’s $7 billion reorganization plan, disagreeing over whether hedge funds committed insider trading during the almost three-year bankruptcy of the defunct bank holding company. Shareholders have asked […]
Hedge Fund Bets on S&P 500 Most Bearish Since 2008, SocGen Says
San Francisco Chronicle – Hedge funds’ bearish bets against the Standard & Poor’s 500 Index increased to the highest level since 2008 after this month’s stock slump raised concern that economic growth is slowing, Societe Generale SA analysts said. The […]
Paulson Hedge Fund Said to Lose 14% in August
Bloomberg – John Paulson, the billionaire who is betting on an economic recovery by the end of 2012, has lost about 14 percent this month on a merger arbitrage hedge fund, according to an investor. The Paulson Partners Enhanced fund […]
Hedge Funds, It Turns Out, Are Hedging
The Street – Hedge fund managers, known for risk taking in pursuit of investment gains, have spent more time protecting investors as stocks recorded the steepest declines in three years. and institutions, have fallen 1% from the start of the year […]
Carl Icahn Made $535 Million Last Week
Business Insider – Carl Icahn’s hedge fund made $120 million shorting the S&P index last week, according to Bloomberg. Add that to the $415 million Icahn Capital made when its huge stake in Motorola got a boost from the announcement of its deal […]
Investment bankers suffer as UBS sheds 3,500 staff
Guardian – Swiss banking firm UBS has become the latest bank to cut thousands of jobs around the world, although Britain will escape the brunt of the cuts. Zürich-based UBS, which employs 65,000 people worldwide, said on Tuesday it was cutting […]
EurekaHedge: Hedge funds outperformed global markets by 3.03%
New York (HedgeCo.net) – August’s edition of The Eurekahedge Report takes an in-depth look at the global hedge funds sector, with analysis of the industry’s performance so far in 2011, comparisons to previous years and an examination into where it […]
Bank of America’s share nosedive fuels fears of a second credit crunch
Guardian – Bank of America continued its tailspin on Tuesday as shares in the largest US bank tumbled by another 6.4% to their lowest level since March 2009, fuelling fears of a second banking crisis. As concerns mounted that BoA […]
Spiegel Unloads on Hedge Funds and the Markets
Business Insider – Nasty article in Der Spiegel, Out of Control: The Destructive Power of the Financial Markets, which helps explain what’s behind the financial transactions tax that was recently introduced by Angela Merkel and Nicolas Sarkozy. The article opens, […]
Hedge funds outperform local equities
ioL – The second quarter of 2011 was another difficult one for the local equity market according to portfolio manager at Blue Ink Investments, Eben Karsten. The local index ended 20.3% weaker in June, following steep intra month declines of […]
Fearing Inflation ‘Bogeyman’ Is Bad Policy, Brownstein Says
Bloomberg – Policy makers seeking to rescue the U.S. economy are wrong to worry about the threat of inflation and should heed Warren Buffett’s call for higher taxes on the wealthy, according to Don Brownstein, manager of last year’s top-performing hedge fund. […]