Oregon Hedge Funds Under Scrutiny

Dec 6 2010 | 5:20am ET

Their names refer to mythical beasts, but now Oregon authorities are looking into whether there was anything else mythical—or worse—about a pair of Portland-area hedge funds.

The Oregon Division of Finance and Corporate Securities is investigating allegations of fraud at Grifphon Asset Management and Sasquatch Capital. The probe comes after several investors filed complaints alleging that they have been unable to withdraw their money.

Liquidity has been a problem, Grifphon's Yusaf Jawed admits. He said his Lake Oswego-based firm failed to get a bridge loan it needed to pay off investors as promised last year and told The Oregonian, "I'm doing my best to get this solved."

Neither Sasquatch nor founder Lyman Bruhn commented on the investigation, but Bruhn did e-mail investors last month thanking them for their patience. Bruhn also seems to have launched a new hedge fund this year, Pearl Asset Management, based across the river from Portland in Vancouver, Wash.

Jawed and Bruhn have longstanding ties, working together since the 1990s. But Jawed said the two men no longer have a business relationship.


In Depth

Q&A: Old Hill's Stone On Private Debt, P2P And Credit Bubbles

Jun 6 2017 | 7:52pm ET

While institutional capital continues to flow into the broader private debt sector...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

AIMA: How The U.K.'s SMCR Will Affect U.S. Firms

Jun 20 2017 | 6:29pm ET

U.S. investment managers need to think seriously about how tough new U.K. conduct...

 
Error

From the current issue of