Wednesday, 17 September 2014
Last updated 2 hours ago
Feb 23 2009 | 12:32am ET
It probably seemed like a good idea at the time. A number of Goldman Sachs partners have been forced to borrow more money to cover margin calls made on loans they took to invest in hedge and private equity funds.
“Several” partners have been hoisted by their own petard, so to speak, according to CNBC. Some borrowed money from Goldman itself, and, as the economy has continued to deteriorate, Goldman has made margin calls against its own partners. Of course, many of the investments they made with the borrowed money are under duress, to say the least, leaving them without the liquidity to meet the margin calls.
The loans from Goldman are backed by the partners’ stake in the Wall Street firm. If they are unable to pay up, Goldman will have to sell their shares to cover the margins.
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…
The London Whale saga is a twist on the typical rogue trader story as the rogue trader recognized the error of his ways and was prepared to take his medicine but was instructed by superiors to “defe...