Friday, 22 May 2015
Last updated 2 hours ago
May 28 2013 | 3:03pm ET
SAC Capital Advisors is preparing plans to become a family office amidst word that a fifth executive at the hedge fund has been subpoenaed to appear before the grand jury considering criminal insider-trading charges against the firm.
Stamford, Conn.-based SAC is creating a plan to return outside capital, Fox Business reports. Sources tell the network that an announcement that SAC will become a family office, managing only founder Steven Cohen's fortune, will come within weeks.
It is unclear whether the firm is considering any other options, according to Fox, but the return of outside capital would likely lead to a large number of layoffs at SAC, which employs about 1,000 people.
Prosecutors are considering racketeering charges against SAC as a criminal enterprise. To avoid those or any other charges, Cohen has been mulling the shut-down as part of an offer to prosecutors.
Cohen's billions make up well over half of SAC's $15 billion in assets—a figure that is likely to drop further next month, when the firm is expected to suffer more than $1 billion in redemptions.
Cohen and five other top SAC executives have been subpoenaed. The latest to join the group is Anthony Vaccarino, a portfolio manager at the firm. Earlier reports indicated that firm president Tom Conheeney, chief operating officer Solomon Kumin, compliance chief Steve Kessler and trading chief Phillipp Villhauer have received subpoenas.
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…