Tuesday, 5 May 2015
Last updated 3 hours ago
Dec 4 2013 | 12:34pm ET
Hedge funds could be on the hook for $13 million owed them or their clients by AlphaMetrix Group.
The Commodity Futures Trading Commission monitor overseeing the hedge-fund services firm said that hedge funds and commodity trading advisers are owed between $7 million and $10 million in fees by AlphaMetrix. In addition, their investor clients are owed $3 million in rebates.
Last month, the CFTC accused AlphaMetrix of misappropriating $2.8 million in fee rebates. The allegation came after AlphaMetrix warned clients in October that it had "encountered significant cash-flow issues," followed by a decision to begin closing investment pools.
Still, the monitor, Deborah Thorne, said she believes 95% of investor funds should be returned by Dec. 20, although that does not include the rebates. She warned that AlphaMetrix has "spent most or all" of that $13 million.
Thorne added "that additional investigation into the activities of current and former management should be conducted to determine whether there are causes of action to be pursued to bring in additional funds to compensate the losses of the rebate claims and possibly the claims of the CTAs."
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…