Wednesday, 26 November 2014
Last updated 16 min ago
Jun 18 2014 | 3:03pm ET
Hedge fund Carrington Holding’s move into mortgage-servicing is getting some unwanted attention seven years after the deal.
The Securities and Exchange Commission is investigating Carrington’s 2007 purchase of New Century Financial’s mortgage-servicing business following the subprime lender’s collapse. The regulator began subpoenaing documents from Carrington in the fall, The New York Times reports.
In particular, the SEC wants to know about how Greenwich, Conn-based Carrington financed the $188 million deal, as well as about the servicing business itself. Carrington used preferred equity securities to refinance part of the purchase, last year replacing them with $530 million in unsecured Irish Stock Exchange-listed securities that come due in 2021.
Carrington disclosed the probe to investors in November, but it has not previously been publicly reported.
Nov 4 2014 | 9:45am ET
Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…
Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...