Sunday, 29 November 2015
Last updated 1 day ago
Jul 29 2013 | 11:22am ET
Like most major hedge funds, the recently-indicted SAC Capital Advisors is at the center of a web of units and affiliates, some of which have also been charged with insider-trading.
In SAC's case, those affiliates include a reinsurance business that has not been accused of any wrongdoing. But the hedge fund's indictment last week could still be felt at Bermuda-based SAC re.
SAC launched the company last year with $500 million in initial capital, and quickly won a top rating from insurance ratings agency A.M. Best. But that company said last week that they were monitoring the situation at SAC and could cut that rating.
A lower rating could scare potential customers and counterparties away from SAC Re, which invests its premiums with the hedge fund, giving it a form of permanent capital not subject to the vagaries of investor redemptions, which have poured in at SAC as scrutiny of the firm has mounted in recent months. But SAC Re isn't completely immune from bad publicity at its namesake firm.
"Buyers of reinsurance from SAC Re will be on the phone with their brokers telling them to move out," insurance industry consultant Andrew Barile told Reuters.
Oct 21 2015 | 10:41am ET
One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…