Thursday, 25 December 2014
Last updated 1 day ago
Jul 21 2011 | 1:59pm ET
Kenneth Griffin is not a man known for his patience, and his patience with E*Trade Financial Corp. may have finally run out.
Griffin's Citadel Investment Group, which has twice bailed out the troubled online brokerage and is its biggest shareholder, treated the company to a tongue-lashing, calling on E*Trade to put itself up for sale, get rid of two board members and change its staggered board structure.
"Since November of 2007, the board has continually failed to act in the best interest of E*Trade shareholders," Citadel wrote. "Having endured nearly four years of value destruction and lost opportunity, we believe it is time for change."
Calling E*Trade "a phenomenal franchise… squandered," Citadel blamed the company's board for "destroying more than $9 billion in stockholder value" and blasted it for E*Trade's "disastrous foray" into mortgage-backed securities.
E*Trade CEO Steven Freiberg said he was "surprised and disappointed by" Citadel's letter, but that he and the board will be "carefully considering" Citadel's demands.
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.