NEW YORK A lawyer for Porsche Automobil Holding SE urged a New York state appeals court to overturn a lower court decision allowing 26 hedge funds to sue the German automaker in the state. The hedge funds filed lawsuits last year claiming they lost $ 1 billion as a result of what they called Porsche’s deceptive manipulation of the market for Volkswagen AG shares in 2008. The hedge funds said they sold Volkswagen shares short after Porsche denied it planned to acquire control of Volkswagen. They lost money when Porsche later said it had bought Volkswagen shares and intended a [...]
An Argentinian vessel, the Libertad, was detained in Ghana on October 2 following a request from NML Capital Ltd.Argentina has refused to pay on past judgments against it, arguing that the funds were “vultures” Argentina is due to pay about $ 3.4bn in total in December to various restructured bondholders(Financial Times) — Argentina will have to pay $ 1.3bn to hedge funds that refused to restructure their debts after the country’s 2001 default when it makes regular payments to its restructured bondholders in December, a US court has ordered.The ruling, made late on Wednesday in New York, raises the possibility [...]
SAN FRANCISCO Groupon Inc. shares climbed more than 13%, to $ 3.53 a share Tuesday, after a New York-based hedge fund disclosed it had acquired a 9.9% stake in the online daily deals company. Late Monday, Tiger Global said in a regulatory filing that it has bought 65 million shares of Groupon’s stock around Nov. 9. On Nov. 8, Groupon reported disappointing quarterly results that shaved 29% off of its stock price. Groupon’s shares have risen 35% since hitting an all-time low of $ 2.60 a share on Nov. 12.
The Securities and Exchange Commission on Thursday charged a hedge fund manager with allegedly defrauding investors by hiding millions of dollars in losses from mortgage securities. Specifically, the SEC alleges that Walter Morales and hedge fund Commonwealth Advisors, based in Baton Rouge, La., tried to hide $ 32 million in losses by lying to investors about the amount and value of mortgage-backed assets held by the hedge funds, and purportedly creating phony internal documents to justify their false valuations. The SEC said that Morales also instructed employees to conduct a series of allegedly manipulative trades to conceal the [...]
Like a ’60s-era fallout shelter, I savings bonds are a product designed to address a threat that’s lain dormant for a while now. The “I” in I bond stands for inflation, and I bonds are engineered to protect fixed-income investors from having their savings eroded by a leap in prices, in other words, for inflation protection. But that hasn’t been much of a problem lately, says Chris Philips, a senior analyst in Vanguard’s Investment Strategy Group of Valley Forge, Pa. “Inflation itself is actually running at pretty modest levels,” he says. On Nov. 1, the Treasury will announce the fixed [...]
(Note: Language in paragraph 14 may be offensive to some readers) A judge refused to dismiss a $ 1.07 billion lawsuit against Goldman Sachs Group that accuses it of selling risky debt that it intended to lose value to an Australian hedge fund, causing the fund to become insolvent. New York state Supreme Court Justice Shirley Kornreich denied Goldman Sachs’ bid to toss claims of fraud, unjust enrichment and negligence, among others, by the Basis Yield Alpha Fund. The fund accuses Goldman of making false and misleading statements in connection with the sale of securities to offload toxic subprime mortgages [...]
NEW YORK One of the first big hedge funds to try to profit from a rebound in the U.S. housing market by investing in foreclosed homes is looking to cash out, even as other institutional investors are still getting in. Och-Ziff Capital Management Group LLC, the $ 31 billion hedge fund led by Daniel Och, recently told its investment partner, 643 Capital Management, that it wants to exit from the foreclosed homes business, said several people familiar with the matter. The hedge fund is looking to make a profit on a portfolio of about 300 foreclosed homes in northern California [...]
The Securities and Exchange Commission on Wednesday charged a hedge fund and two of its executives with allegedly scheming to overvalue assets under management and exaggerating the firm’s reported returns to hid losses. The SEC alleges that by fraudulently making the fund, Yorkville Advisors LLC, more attractive to potential investors, the two executives enticed more than $ 280 million in investments from pension funds and other investors and enabled it to charge at least $ 10 million in excess fees. The SEC filed its complaint in U.S. District Court for the Southern District of New York. The hedge fund firm was once worth $ [...]