Tuesday, 28 April 2015
Last updated 14 hours ago
Mar 15 2012 | 11:12am ET
It's getting expensive to insure your hedge fund—and will get more so, according to a new report.
Professional liability policies are costing 5% to 10% more this year, SKCG Group said. Those policies had been getting cheaper and cheaper over the last few years, with a $200 million hedge fund paying less than $70,000 a year for $5 million of coverage six months ago, down from $125,000 three years ago.
"They are starting the conversation with requests for 10 percent increases, and are eyeing those higher 2009 price levels as a goal for the next few years," SKCG's Richard Canter said.
For now, they're settling for a slight increase over late 2011 prices. The same $5 million policy mentioned above now runs about $75,000.
Hedge fund liability policies cover legal fees in the event of legal or regulatory action. And it is the aggressiveness of the latter that is driving the current jump in rates, according to Canter.
"Insurance carriers know that hedge funds are in regulators’ cross hairs," Canter said.
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…