Tuesday, 21 October 2014
Last updated 1 hour ago
Apr 10 2009 | 8:13am ET
Texas fund of hedge funds shop Austin Capital Management has been hit with a second class-action lawsuit over losses suffered in the Bernard Madoff Ponzi scheme.
A San Diego law firm filed the suit in New York federal court, accusing Austin and its outside auditors of breach of fiduciary duty for not telling investors that it had allocated some 7.5% of its funds to Rye Investment Management, a Madoff feeder fund. The suit, which is seeking a lead plaintiff, covers institutional investors for the period between 2005 and Madoff’s arrest last year.
In February, a Philadelphia pension fund filed a class-action suit against Austin in Philadelphia. Earlier that month, the Massachusetts Pension Reserves Investment Management Board fired the firm just four months into its contract due to the Madoff debacle.
Coughlin Stoia Geller Rudman & Robbins’ suit includes a sub-class for employee benefit plans, claiming breach of fiduciary duty under the Employee Retirement Income Security Act of 1974.
The lawsuit seeks to recover damages on behalf of all investors during the three-year period.
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…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...