Tuesday, 22 July 2014
Last updated 38 min ago
Jun 22 2011 | 5:58pm ET
The National Futures Association has taken an emergency enforcement action against two North Carolina-based CTAs - D2W Capital Management and Prestige Capital Advisors - and Prestige principal Toby Hunter.
In a statement released Wednesday, the NFA said an examination of D2W and Prestige revealed the companies and Hunter had “misled customers regarding the value of their investments, continue to solicit potential customers with false and misleading performance information and have not provided D2W's customers with an NFA-approved disclosure document.”
The regulator says D2W, Prestige and Hunter have been unable to provide it with current books and records supporting the “current value or location of their purported assets and client funds, and have also misled NFA throughout its investigation of the firms.”
As a result, D2W, Prestige and Hunter have been forbidden from “soliciting or accepting funds from customers or investors, soliciting investments for any managed accounts, pools or other investment vehicles, or placing any trades.” The firms and the principal are also banned from disbursing or transferring any funds of “customers, investors or pools over which they exercise control, or participants in any such pools, without prior approval from NFA.”
D2W Capital Management (Radical Wealth) was ranked among the top-performing CTAs for the year ending in March 2011 by BarclayHedge.
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…