Wednesday, 1 October 2014
Last updated 15 hours ago
Apr 27 2011 | 1:14pm ET
A third former employee has sued the founder of stillborn hedge fund Diamond Lake Investment Group, seeking unpaid wages.
Namuk Cho, the former head of U.S. derivatives trading at UBS, filed suit against Dow Kim, seeking the $2 million he claims the former Merrill Lynch trading chief promised him when he lured Cho to Diamond Lake.
"Kim specifically promised Cho $2 million as minimum compensation for his 2007 services," the suit alleges. "Cho insisted that his $2 million minimum compensation be unconditional and not subject to the launch of Kim's investment funds."
Those launches never happened; Kim pulled the plug on Diamond Lake in 2008 after seeing commitments of as much as $2 billion disappear. But Cho claims that he promised in August 2007, "you will get your $2 million" after complaining that the Cho's terms would mean "it comes out of my pocket."
Kim still faces two other lawsuits: Last month, a court reinstated claims made by former Diamond Lake general counsel Karl Wachter over unpaid compensation. And on Friday, lawyers for Kim and former Diamond Lake portfolio manager Michael Pasternak are to talk settlement. Pasternak is demanding $12 million in lost compensation from a job at Morgan Stanley he turned down to join Diamond Lake.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...