Sunday, 21 December 2014
Last updated 8 hours ago
Feb 10 2014 | 10:46am ET
Hedge fund Two Sigma Investments has ended its survey of stock analysts, amidst scrutiny of such practices by New York officials.
Two Sigma suspended its survey in the middle of last month, shortly after BlackRock agreed to end its survey as part of a settlement with New York Attorney General Eric Schneiderman. Two Sigma paid the firms of the 1,300 analysts it surveyed to participate.
Schneiderman has vowed a crackdown on what he calls "Insider Trading 2.0," seeking to block firms from gaining early access to such information. His office had subpoenaed Two Sigma last year.
"Restoring full confidence in the fairness of our markets means ensuring there is one set of rules for everyone," Schneiderman said. "The time has come for major firms to stop providing unfair advantages to themselves or elite traders at everyone else's expense."
"The BlackRock settlement may represent a change in the law regarding equity analysts' communication with their clients," Two Sigma said. "A compliance-minded firm carefully studies what its regulators say and we are doing exactly that."
Two Sigma launched its analyst survey, one of the largest on Wall Street, in 2008. The firm said it used the poll to learn public, rather than confidential, information.
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.