{"id":1215,"date":"2003-09-27T00:00:00","date_gmt":"2003-09-27T00:00:00","guid":{"rendered":""},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-30T04:00:00","slug":"strong-capital-to-reimburse-investors","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/09\/2003\/strong-capital-to-reimburse-investors.html","title":{"rendered":"Strong Capital to Reimburse Investors"},"content":{"rendered":"<p>MILWAUKEE (AP) &#8211; Strong Capital Management Inc. said it will reimburse investors in four of its mutual funds if it finds they were hurt by a New Jersey company&#8217;s alleged illegal trading practices.<\/p>\n<p>  New York Attorney General Eliot Spitzer announced earlier this month that hedge fund Canary Capital Partners LLC had agreed to pay $40 million to settle allegations it engaged in illegal trading  practices with mutual fund companies, including Strong.<\/p>\n<p>  In exchange for big-money investments, Spitzer said, several mutual funds bent the rules applied to most investors and allowed Canary to make after-hours trades and short-term &#8220;in and out&#8221; deals.<\/p>\n<p>  The complaint alleges Strong gave Canary advantages over other shareholders in exchange for commitments from Canary to keep as much as $18 million in a Strong brokerage account to trade Strong  funds, and to keep an unspecified amount of &#8220;substantial additional assets&#8221; in Strong hedge funds.<\/p>\n<p>  Menomonee Falls-based Strong will &#8220;make the appropriate reimbursement if it is determined that the Canary transactions adversely affected investors in the four funds referenced in the complaint,&#8221;  chairman Richard S. Strong said Friday in a letter posted on the investment firm&#8217;s Web site.<\/p>\n<p>  The privately held company had remained silent for three weeks on whether it would reimburse investors.<\/p>\n<p>  The announcement &#8220;took longer than we would have hoped,&#8221; Paul Herbert, a mutual fund analyst at Morningstar Inc. in Chicago.<\/p>\n<p>  The Strong letter does not address the allegation that the firm gave Canary lists of portfolio holdings that weren&#8217;t available to other fund shareholders.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MILWAUKEE (AP) &#8211; Strong Capital Management Inc. said it will reimburse investors in four of its mutual funds if it finds they were hurt by a New Jersey company&#8217;s alleged illegal trading practices. New York Attorney General Eliot Spitzer announced [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-1215","post","type-post","status-publish","format-standard","hentry","category-hedgeco-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/1215","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=1215"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/1215\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=1215"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=1215"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=1215"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}