Friday, 19 December 2014
Last updated 6 hours ago
Jun 13 2014 | 10:39am ET
RK Capital Management is confident that a metals-financing scandal is not a sign of deeper problems in the metal warehousing industry.
Firm founder David Lilley told the International Derivatives Expo this week that the failure by Chinese investigators to discover any further malfeasance in Qingdao is good news for metals traders. Authorities in that city are looking into whether warehouse receipts could be duplicated to obtain financing on the same metal multiple times.
The nascent scandal “raises a lot of questions about everything else,” Lilley said. But, he noted “every trading company, every bank has been doing a huge amount of due diligence that everything else is OK.”
“I am somewhat reassured by the fact that in that period no other area, no other problem has been uncovered. So, in that regard, I suppose, I think it’s going to calm down and everything’s OK.”
Lilley did end on a cautious note, saying, “you don’t know what you don’t know.”
RK Capital runs the Red Kite hedge funds.
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.