Hedge Fund Goldfinch Hit By NYMEX For Natural Gas Shorting

Mar 16 2011 | 12:45pm ET

The New York Mercantile Exchange has rapped hedge fund Goldfinch Capital Management for exceeding position limits in natural gas futures.

The Houston-based energy hedge fund was ordered to pay a $50,000 fine and $17,287 in profits earned on the excess U.S. contracts, NYMEX's owner, the CME Group, said yesterday. According to NYMEX, Goldfinch's short position was "53 contracts (5.3%) over the expiring speculative spot month position limit."

The violation occurred on Nov. 23 for the December 2010 contract, and is Goldfinch's third such infraction over the past to years. The hedge fund later bought enough contracts to cut its position back under the 1,000 contract limit.


In Depth

PAAMCO: Will Inflation Deflate the Asset Bubble?

Jan 30 2018 | 9:49pm ET

As the U.S. shifts from monetary stimulus to fiscal stimulus, market pricing should...

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

Boost Hedge Fund Marketing ROI By Raising Your ROO

Feb 14 2018 | 9:57pm ET

Tasked with delivering returns on client capital, a common dilemma for many alternative...