Tuesday, 26 May 2015
Last updated 3 days ago
Jun 10 2013 | 12:50pm ET
SAC Capital Advisors clients moved to redeem substantially less from the hedge fund than expected, according to a report.
Facing an intensifying insider-trading investigation, SAC had been bracing for withdrawals of $3.5 billion at its second-quarter redemption date last Monday, and earlier reports indicated that investors had filed requests to pull some $4 billion—substantially all of the firm's remaining outside capital.
Instead, investors filed redemption requests for between $2 billion and $3 billion from the $15 billion hedge fund, CNBC reports. While redemptions are said to be closer to $3 billion than to $2 billion, it is still significantly less than expected and welcome news for SAC, which faced the redemption deadline amidst reports that prosecutors may file criminal charges against the firm itself.
It is also a welcome change from SAC's first-quarter redemption date, when it expected $1 billion in withdrawals but received $1.7 billion.
The clients that did file redemption requests on Monday—among them such major investors as the Blackstone Group, Ironwood Capital Management and Magnitude Capital—will receive their money in installments throughout the rest of the year. Those that did not can still get all of their money back at the same time if they move to redeem in the third quarter; SAC eased its redemption terms, which normally permit clients to get only one-quarter of their capital back each calendar quarter, in an effort to stave off massive withdrawals.
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…