Thursday, 18 September 2014
Last updated 1 hour ago
Aug 15 2014 | 8:34am ET
Brevan Howard Asset Management co-founder Chris Rokos had a very convenient change of heart about whether he planned to start his own hedge fund, the firm alleges.
Rokos is suing Brevan to be freed from a five-year non-compete agreement. But the hedge fund said that Rokos assured them at the beginning of the year that he had no plans to manage outside capital, ensuring that it would pay him $73 million in profit allocations. Less than two weeks later, he informed Brevan that he planned to get out of the non-compete.
Rokos wishes to break that agreement because it “no longer [fits] in with his current wishes, yet he still seeks to retain all financial benefits conferred on him under those agreements and to exploit the high personal profile, reputation and track record that Brevan Howard has afforded him to damage its interests,” Brevan alleges. In addition to the voiding of the non-compete, Rokos wants to be confirmed in his right to share in Brevan’s profits through 2018.
Brevan said that, had it known of Rokos’ plans, it might had withheld all or some of the $73 million. It now wants that money back.
The $37 billion firm is battling Rokos’ bid to end the non-compete, and has filed a countersuit for breach of agreement.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.