Monday, 20 October 2014
Last updated 3 days ago
May 15 2013 | 1:15pm ET
SAC Capital Advisors should pay Elan Corp. shareholders at least $685.6 million for losses suffered on the allegedly illegal trades made by the hedge fund in the pharmaceutical company's stock.
Elan shareholders, who first sued SAC in January, demanded at least $549.2 million in illicit profits in a consolidated complaint filed on Monday. The group, which is seeking class-action status, is also seeking $396 million in prejudgment interest. The disgorgement sought would be offset by $259.7 million from SAC's settlement with the Securities and Exchange Commission.
Elan is one of two companies that former SAC portfolio manager Mathew Martoma is alleged to have illegally traded while at the hedge fund. Martoma was charged in November with getting confidential information about Alzheimer's drug trials and using it to trade in Elan and Wyeth LLC shares, and has pleaded not guilty.
The would-be class action seeks to cover anyone who traded in Elan American depositary receipts or options from July 21 to 29, 2008.
Prosecutors have called the case against Martoma the "most lucrative" insider-trading scheme in history; they are reportedly seeking Martoma's cooperation in building a case against SAC founder Steven Cohen
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 ...