Tuesday, 30 September 2014
Last updated 3 hours ago
May 10 2013 | 2:18pm ET
SAC Capital Advisors' redemption policies, once among the strictest in all of the hedge fund industry, are getting looser by the day.
In February, the $15 billion Stamford, Conn.-based firm agreed to waive a restriction allowing investors to withdraw only 25% of their money each quarter, saying it would permit investors who did not file a redemption request that month to redeem one-third of their investment in each of the remaining quarters in 2013. Late last month, it announced that investors who skipped the second-quarter redemption date would be allowed to redeem one-half of their money in each of the last two quarters of the year.
Now, the firm is pushing that redemption date back.
SAC said investors would now have until June 3 to file redemption requests, rather than May 16, The New York Times reports. The move suggests that SAC is working hard to convince investors to stick with it. Its February move failed to stem a deluge of withdrawals; expecting only $1 billion in requests, SAC actually received $1.7 billion.
The extra time may also allow for a finalization of SAC's $602 million settlement of insider-trading allegations; the provisionally-accepted deal with the Securities and Exchange Commission is on hold pending an unrelated appeals-court ruling expected this summer. The settlement covers the allegedly illicit trading of former SAC portfolio manager Mathew Martoma, who has pleaded not guilty. Also awaiting trial is portfolio manager Michael Steinberg in a separate insider-trading case.
"We are hopeful that the next few months will bring great clarity surrounding the resolution of pending regulatory matters," President Tom Conheeney said.
SAC last week announced a series of new policies designed to impede insider-trading, including salary clawbacks and limits on expert-network usage.
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…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...