Wednesday, 20 August 2014
Last updated 2 hours ago
Mar 6 2014 | 10:20am ET
A Long Island firm has been hit with the largest-ever fine for shorting into the deal.
Worldwide Capital and founder Jeffrey Lynn agreed to pay $7.2 million to settle allegations that they violated Rule 105, which bars traders from shorting a stock before a public offering, and then participating in that offering. Neither Lynn nor his hedge fund admitted or denied any wrongdoing.
According to the SEC, Worldwide violated Rule 105 about 60 times over a four-and-a-half year period, ending in February 2012. The trades earned Worldwide and its traders more than $8.4 million.
“Rule 105 is an important safeguard designed to protect the market against manipulation, and we will continue to aggressively pursue violators,” Andrew Calamari, head of the SEC’s New York office, said.
Aug 4 2014 | 7:42am ET
By now, U.S. and international subscribers have received their home or office delivery of the special 500th issue of Futures magazine. You can too!—a very special offer follows. The issue is the largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders. Read more…
The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.
The Alpha Pages Editor's Note