Wednesday, 22 October 2014
Last updated 13 hours ago
Sep 6 2012 | 11:47am ET
A federal bankruptcy judge has appointed a trustee to oversee a bankrupt Fletcher Asset Management hedge fund, a victory for three Louisiana public pension funds that invested $100 million in the vehicle.
U.S. Bankruptcy Judge Robert Gerber said a federal trustee would "maximize value and decrease the need for litigation." The motion, made by the fund, Fletcher International, which filed for bankruptcy in June, was opposed by Fletcher Asset Management, which placed the fund into bankruptcy to prevent Cayman Islands-appointed liquidators from selling the fund's assets.
The Louisiana pensions, which pushed the winding-up petition in the Cayman Islands, where Fletcher International is domiciled, backed the trustee appointment. The pensions have been battling with Fletcher for more than a year, after Fletcher filled their July 2011 redemption request with promissory notes.
Fletcher's lawyer said that an examiner should have been appointed instead, as Fletcher International is not so much a hedge fund but a "private equity fund with long-term horizons." Court documents indicate that the fund has only about $40 million in assets left.
Fletcher Asset Management founder Alphonse Fletcher attended yesterday's hearing in Manhattan.
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 ...