Tuesday, 21 October 2014
Last updated 7 min ago
Nov 6 2012 | 11:52am ET
Even as it awaits the outcome of a hedge fund's appeal of an earlier sanction, Japan's market regulator has taken after the hedge fund once again.
The country's Financial Services Agency on Friday said it would seek to impose a second fine for insider-trading against Japan Advisory, the Tokyo-based hedge fund that it moved to shut down in June. According to the regulator, Japan Advisory, led by an American, Edward Brogan, traded Elpida Memory securities after learning that it was about to hold a share and bond offering.
The FSA said that Japan Advisory figured out Elpida's plan without a direct tip-off, instead surmising what was about to happen by the fact that the company was left off of a sector report it received from a Nomura Holdings employee. Nomura leaves companies off of such lists when it plans a share offering within a week.
Nomura was not punished for the leak, which emerged during another investigation of leaking information to market players. But the FSA wants Japan Advisory to pay ¥120,000 (US$1,500).
Japan Advisory and FSA are already battling a fine and the regulator's proposed license revocation imposed in June. The hedge fund has been shut since then, but has appealed the allegation that it short-sold US$6.8 million in Nippon Sheet Glass shares two years ago.
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 ...