Saturday, 28 November 2015
Last updated 1 day ago
Nov 19 2013 | 10:25am ET
The demise of his hedge fund could have dire personal financial consequences for FX Concepts founder John Taylor.
FX Concepts filed for bankruptcy last month and plans to liquidate its assets, including its intellectual property. And while that would normally be the end of the story, even if there wasn't enough money to repay creditors, in this case, it isn't.
That's because Taylor was forced to personally guarantee a piece of FX's loans from Credit Suisse's Asset Management Finance division. FX owes AMF $34.4 million, according to Hedge Fund Alert, and Taylor is personally responsible for $5 million.
The revelation indicates that the 25-year-old one-time currency hedge fund giant was in worse shape for longer than initially believed. AMF demanded the personal guarantee from Taylor when he renegotiated two revenue-sharing deals FX had with AMF in exchange for deferring eight quarterly payments.
Court documents show that FX is unlikely to be able to meet all of its obligations, which may explain why Taylor put his new Manhattan apartment on the market in September for $25 million.
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…