‘Enforcement 40’ for 2020
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Join the Securities Litigation and Enforcement Group on LinkedInLondon hedge funds’ websites cloned as scammers grow bolder and more ubiquitous – Reuters
Some of London’s top hedge funds and asset managers are among those that have been targeted by rogue internet operators who clone their names and websites in an attempt to part unsuspecting investors from their cash. via London hedge funds’ websites cloned as scammers grow bolder and more ubiquitous – Reuters.
How hedge funds use drones, satellite images and web scraping to gain an edge – CNN
Last summer, a large hedge fund had a hunch: Lumber prices were about to crash because of excess inventories caused by a railway strike. Before placing a massive short bet that lumber company share prices would fall, executives at the hedge fund confirmed the theory by hiring a drone to fly over lumberyards, people familiar […]
Yale Alum, 21, Accused of Running Hedge Fund Scam by SEC – Bloomberg
This is one college side hustle a recent Yale grad might be regretting. Omar Zaki, 21, ran a hedge fund while enrolled at the Ivy League university, saying his firm relied on an algorithm that had produced eye-popping returns over a 10-year period, according to the Securities and Exchange Commission. The misrepresentation is one of […]
Fake hedge fund manager pleads guilty to securities fraud | New York Post
Scronic, 46, on Thursday pleaded guilty to securities fraud, admitting that he defrauded 45 investors — many of them pals — out of $22 million while running his fake hedge fund from his home. In seven-plus years of running the scam, Scronic posted only one positive quarter, court papers reveal. via Fake hedge fund manager […]
Steven Cohen Plans a New Hedge Fund. Investors Are Wary. – The New York Times
Steven A. Cohen, the billionaire investor whose career was nearly derailed by a government crackdown on insider trading, is days away from once again being able to manage other people’s money. Whether investors will hand over their money is another question. via Steven Cohen Plans a New Hedge Fund. Investors Are Wary. – The New […]
Chinese Regulator Cracks Down on Booming Hedge-Fund Industry – Bloomberg
China’s securities regulator is cracking down on the fast-growing hedge-fund industry, investigating 10 cases of alleged wrongdoing. Officials are probing private fund practices including market manipulation, misappropriation of client funds, insider trading and trading by managers using their personal accounts, the China Securities Regulatory Commission said in a statement on its website Friday. Some funds […]
SEC Probes If Banks Helped Hedge Funds Inflate Returns – Bloomberg
Wall Street banks are known to fiercely compete for hedge-fund clients because of the lucrative trading profits they provide. The U.S. Securities and Exchange Commission is now investigating whether some banks crossed the line to win business by offering hedge funds bogus price quotes on hard-to-value bonds, said two people familiar with the matter. The […]
Should hedge funds be concerned about the risk of insider trading on alternative data?
The investment landscape is changing rapidly and asset managers are finding themselves in an arms race for new forms of alternative data. Everything from mobile phone location data to internet of things (IoT) data about crop yields, are being scraped, sanitised, packaged and sold on to investment managers looking for an edge when making decisions. […]
Steve Cohen hedge fund said to send pitch documents to investors – Business Insider
Steve Cohen, the billionaire hedge-fund manager briefly banned from the industry after an insider-trading investigation, this week sent investors documents pitching his new fund, Stamford Harbor Capital, a person who has reviewed the deck told Business Insider. via Steve Cohen hedge fund said to send pitch documents to investors – Business Insider
No One Questioned This Hedge Fund’s Madoff-Like Returns – Bloomberg
But until Murray Huberfeld, who founded Platinum with Nordlicht, was caught up in a New York City municipal-corruption probe in June, no one at the fund had been charged with wrongdoing. Within weeks of Huberfeld’s arrest, federal agents raided Platinum’s midtown Manhattan office. On Dec. 19, Nordlicht and six others were arrested in what the government […]