Tuesday, 16 September 2014
Last updated 15 min ago
Jul 6 2011 | 5:11pm ET
Hedge fund Rosen Capital Management has won its arbitration case against Bank of America Merrill Lynch.
The Financial Industry Regulatory Authority ordered BofA to pay the Santa Monica, Calif.-based hedge fund $63.7 million. Rosen, which had sought more than $90 million, accused Merrill of fraud, negligence, breach of contract and acting in bad faith when it made "unexpected margin calls" against the hedge fund in 2008. The FINRA panel did not specify the transactions in its ruling.
Rosen said the margin calls caused losses for two of its hedge funds—reportedly in excess of 80% in just a week.
BofA, which acquired Merrill amidst the financial crisis that year, is mulling an appeal.
"At all times, we met the contractual requirements of our relationship with this sophisticated hedge fund, which sought to blame us for losses during a period of extreme market volatility in October 2008," spokesman Bill Halldin said.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
The Federal Reserve keeps baby-stepping toward a “normalization” of monetary policy. But just what is normal?