Sunday, 23 November 2014
Last updated 1 day ago
May 20 2010 | 2:11pm ET
A former independent director of an Australian hedge fund that collapsed in the wake of its investment in a Goldman Sachs collateralized debt obligation has called on authorities in that country to launch an investigation into the investment bank.
David Mapley, a former director of Basis Capital Management’s Yield Alpha Fund, approached the U.S. Securities and Exchange Commission about the Timberwolf CDO, which cost Basis US$56 million, in 2008, two years before the regulator brought its fraud lawsuit against Goldman over a different CDO. Now, he’s calling on the Australian Securities & Investments Commission to launch a probe of its own.
“I don’t know if the regulator in Australia is looking at this trade but they certainly should,” Mapley told The Australian. “Goldman Sachs JBWere were a part of the selling process and there were a lot of Australian investors who were caught.”
Goldman is reportedly in settlement talks with Basis. A Goldman executive had referred to the Timberwolf CDO, which Basis invested US$100 million, as “one shitty deal.” Another called it a deal that “will live in infamy.”
Nov 4 2014 | 9:45am ET
Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…
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