Wednesday, 22 October 2014
Last updated 11 hours ago
Feb 16 2012 | 2:44am ET
A troubled Connecticut hedge fund has been fined $250,000 over its former brokerage business.
The Nutmeg State's Banking Department said that Southridge Capital Management's defunct brokerage, Southridge Investment Group, failed to keep e-mails from key employees and did not properly control its restricted trading list. The department also revoked SIG's broker registration, a fact that Southridge CEO Stephen Hicks doesn't seem all that concerned about.
"We exited the business a long time ago," he told the Connecticut Post, although he said he was unaware of the fine. The violations cited by the state occurred in 2009.
Hicks and Southridge still face a potentially much more serious legal problem: Both the state and the U.S. Securities and Exchange Commission sued the firm in 2010 for allegedly falsifying the valuation of Southridge's largest holding.
According to the lawsuits, Hicks valued Fonix Corp. almost entirely on its acquisition of two companies he controlled. He collected some $26 million in bogus fees from 2004 through 2007, Connecticut alleges.
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…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...