Tuesday, 23 September 2014
Last updated 10 hours ago
May 24 2013 | 10:39am ET
Ally Financial has reached a deal with Paulson & Co. and other creditors of its bankrupt subprime mortgage business.
Ally, the former General Motors Acceptance Corp., will pay $2.1 billion to settle allegations by the creditors that it stripped its Residential Capital unit of assets before putting it into bankruptcy protection. The offer is three times what Ally originally proposed to pay the creditors, and seeks to ensure that ResCap can emerge from bankruptcy without further legal headaches for Ally.
"Reaching this comprehensive agreement enables Ally to turn the page on a tumultuous chapter in its history that was severely impacted by the issues in the mortgage industry," Ally CEO Michael Carpenter said.
The deal must still be approved by a court, and while ResCap's hedge fund creditors and others are behind it, some, including Berkshire Hathaway, are not. Berkshire has asked that a report on the alleged asset-stripping be unsealed so that creditors could judge the fairness of yesterday's offer.
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 McKitich, CIO of Petty 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…
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.