Friday, 22 August 2014
Last updated 26 min ago
Feb 2 2011 | 11:48am ET
SAC Capital Advisors' Steven Cohen on Monday moved to reassure the firm's investors that the Justice Department's wide-ranging insider-trading probe will not affect them.
Stamford-based SAC, which has been subpoenaed in the investigation, is widely rumored to be U.S. Attorney Preet Bharara's chief target, although neither the firm itself or any of its employees has been accused of any wrongdoing. But in his year-end letter to investors, obtained by MarketWatch, Cohen said that it was business as usual at the $12 billion firm.
"We are confident there will be no financial impact to our investors," Cohen wrote. "While this investigation plays out, I and the other portfolio managers remain focused on managing the assets entrusted to us."
"We are confident that our ability—and my ability—to do so will not be affected."
No financial impact either from legal bills or distracted managers: Cohen wrote that SAC would pick up the tab for costs incurred due to the probe.
Cohen also said that the firm is adding several new trading teams and predicted that their first year at the hedge fund would be less "strange" than 2010. And he noted that, thanks in part to the firm's billions in internal and partner capital, SAC enjoys a "stable" asset base.
Aug 4 2014 | 7:42am ET
By now, U.S. and international subscribers have received their home or office delivery of the special 500th issue of Futures magazine. You can too!—a very special offer follows. The issue is the largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders. Read more…
The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.
The Alpha Pages Editor's Note