Tuesday, 30 September 2014
Last updated 1 hour ago
Mar 19 2008 | 11:03am ET
Rumors of hedge funds shorting the stock of the U.K. largest mortgage bank sent the financial company’s shares down sharply on Wednesday. Shares of The Halifax fell 20% amidst the rumors, which were accompanied claims that the bank had to seek emergency funding from the Bank of England.
The Bank of England and the Financial Services Authority quickly issued statements denying the rumors. The FSA also announced that it has launched an investigation into the trading activity surrounding The Halifax—which is owned by the U.K. largest bank HBOS—and other banks and went further, accusing traders of “market abuse by spreading false rumors to profit from short-selling.”
The mortgage bank recovered most of its losses following the announcements from regulators.
HBOS has a sizable mortgage book, though unlike Northern Rock, it has a large depositor base and a solid balance sheet.
The Royal Bank of Scotland was also affected by the hedge fund short-selling rumors.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...