Would-Be Hedge Fund Managers' Plans Dashed With Insider-Trading Charges

Dec 20 2013 | 11:34am ET

A former Microsoft Corp. portfolio manager's hedge-fund dreams ended in handcuffs yesterday.

Brian Jorgenson and his friend and business partner, Sean Stokke, were hit with insider-trading charges. The two allegedly used confidential information about Microsoft to build an investment track-record that would allow them to launch their own hedge fund.

According to the Securities and Exchange Commission, which sued the two men yesterday, Jorgenson and Stokke earned $393,125 in profits since beginning the scam last year, first using Jorgenson's access to trade ahead of Microsoft's investment in Barnes & Nobles' Nook e-reader in May 2012.

Jorgenson is cooperating with the investigation, his lawyer told The Wall Street Journal. He is "incredibly remorseful for what happened," Angelo Calfo said.

For its part, Microsoft said it had "helped the government with its investigation and terminated the employee."


In Depth

Kettera Q&A: The Advantages of Alternative Investment Platforms

Oct 28 2016 | 5:52pm ET

The past several years have seen a distinct push towards easier and cheaper access...

Lifestyle

Midtown's Plaza District Fades As Manhattan Office Landscape Shifts

Nov 22 2016 | 6:32pm ET

Lower leasing costs, more efficient office space and the hope of projecting an image...

Guest Contributor

Nowhere to Hide: Why the Future of Asset Management Depends on Innovation

Nov 15 2016 | 6:55pm ET

Information technology has reshaped the asset management industry’s periphery,...

 

From the current issue of

Chicago-based independent futures brokerage and clearing firm R.J. O’Brien & Associates (RJO) has hired industry veteran Daniel Staniford as Executive Director, responsible for the firm’s institutional business development in New York and London.

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR