Money managers under the microscope
News and views on the asset management industry from Reuters and elsewhere:
Renewed attack on Pru’s chairman - Daily Telegraph
There’s been plenty of confusion over who exactly will be hit by the ‘supertax’ on banker bonuses.
The wording of the Treasury’s clampdown last week suggested some hedge funds and traditional asset managers could be caught — PwC’s John Terry told me that of the 20 hedge funds he had spoken to, around half may have been caught in the net.
In Charles Dickens’ novel, Bleak House, a long-running dispute over a legacy only ends when the estate’s assets have been completely devoured to pay the army of lawyers involved in the litigation. Delighted, the lawyers move on to the next case, while one heir of the estate ends up a nervous wreck, his assets all gone.
Madoff investors may feel they are in a similar predicament, watching on helplessly as the scant assets so far recovered dwindle while liquidators and trustees wrangle over how to apportion them.
Fraud is booming as financial pressures rise during the recession, according to PricewaterhouseCoopers, which last night hosted a meeting of its ‘Fraud Academy’, which aims to help companies share tips on spotting those up to no good.