MF Global sold assets to Goldman before collapse: sources
By Lauren Tara LaCapra and Matthew Goldstein
(Reuters) – MF Global unloaded hundreds of millions of dollars’ worth of securities to Goldman Sachs in the days leading up to its collapse, according to two former MF Global employees with direct knowledge of the transactions. But it did not immediately receive payment from its clearing firm and lender, JPMorgan Chase & Co (JPM.N: Quote, Profile, Research, Stock Buzz), one of the sources said.
The sale of securities to Goldman occurred on October 27, just days before MF Global Holdings Ltd (MFGLQ.PK: Quote, Profile, Research, Stock Buzz) filed for bankruptcy on October 31, the ex-employees said. One of the employees said the transaction was cleared with JPMorgan Chase.
Gross’s bond fund bleeds $1.4 billion in December: Morningstar
By Matthew Goldstein and Jennifer Ablan
(Reuters) – The PIMCO Total Return Fund, the world’s largest bond fund, had $1.4 billion in outflows in December, according to fund analytics firm Morningstar.
The fund, operated by Bill Gross, co-chief investment officer of Pacific Investment Management Co, suffered total redemptions of $5 billion in 2011, a year in which the fund underperformed benchmarks after betting heavily against U.S. Treasuries, which rallied on the year.
The guy who is killing it at SAC Capital
By Matthew Goldstein
Move over Steve Cohen. The trader who is killing it at Cohen’s $14 billion SAC Capital Advisors this year is Gabriel Plotkin.
The portfolio manager, who specializes in consumer products and the gaming and lodging industry, is one of the top producers this year at Cohen’s hedge fund, say several people familiar with the Stamford, Conn. hedge fund. Plotkin, who joined SAC Capital in late 2006 from North Sound Capital, is emerging as on Cohen’s most reliable money men.
LightSquaredHarbingerCapital Inc.
By Matthew Goldstein
It’s no secret that LightSquared and Phil Falcone’s Harbinger Capital Partners long have been joined at the hip–especially since the $5 billion hedge fund is the wireless telecom’s biggest equity investor. And a recent financial statement for the Falcone-backed start-up makes it clearer than ever just how closely linked are the fortunes of LightSquared and Harbinger.
As we reported, the LightSquared document reveals that on July 1 the company got $263.8 million in new financing, of which $183.8 million came from hedge funds controlled by Harbinger and Falcone. The hedge fund is getting 2.9 million in warrants to purchase additional shares in LightSquared, which is facing the prospect of running-out of cash during the second-quarter of 2012.
Exclusive: Falcone’s wireless company running out of cash
NEW YORK (Reuters) – The upstart wireless company that is being bankrolled by Philip Falcone’s $5 billion Harbinger Capital Partners hedge fund could run out of money during the second quarter of 2012, according to the company’s financial statement.
LightSquared, which registered a $427 million net loss during the first nine months of this year, may not be able to “continue as a going concern” unless it can raise additional capital and financing, the statement reviewed by Reuters said.
Falcone’s wireless company running out of cash
NEW YORK, Dec 19 (Reuters) – The upstart wireless company
that is being bankrolled by Philip Falcone’s $5 billion
Harbinger Capital Partners hedge fund could run out of money
during the second quarter of 2012, according to the company’s
financial statement.
LightSquared, which registered a $427 million net loss
during the first nine months of this year, may not be able to
“continue as a going concern” unless it can raise additional
capital and financing, the statement reviewed by Reuters said.
Corrected:Bill Gross can’t stop bleeding from flagship bond fund
NEW YORK (Reuters) – Bill Gross’s PIMCO Total Return Fund, the world’s largest bond fund, keeps shrinking as investors look to put their money with some of his competitors.
In November, the mutual fund led by Gross saw about $500 million in outflows, bringing its cash outflow over the past 12 months to $10.3 billion, said Morningstar editorial director Kevin McDevitt.
Steven Cohen reenactment theater
By Matthew Goldstein and Jennifer Ablan
In the end, one of the more memorable takeaways from the Steve Cohen deposition we unearthed is the feud between the lawyers over what to call the billionaire hedge fund manager: “Stevey” or “Mr. Cohen.”
Bess Levin at Dealbreaker.com used a her unique wit to deconstruct the verbal dispute between Cohen attorney Marty Klotz and Fairfax Financial lawyer Mike Bowe. And now CNBC’s David Faber weighs in with his own retelling of the verbal jousting. (see video clip here).
Bill Gross can’t stop the bleeding from flagship bond fund
NEW YORK (Reuters) – Bill Gross’s PIMCO Total Return Fund, the world’s largest bond fund, keeps shrinking as investors look to put their money with some of his competitors.
In November, the mutual fund led by Gross saw about $500 million in outflows, bringing its cash outflow over the past 12 months to $17 billion, said Morningstar editorial director Kevin McDevitt.
Steven Cohen in his own words
By Matthew Goldstein and Jennifer Ablan
The thing about deposition excerpts—even lengthy ones—is that some of the tantalizing material gets left on the cutting room floor. And that’s certainly the case with hedge fund billionaire Steve Cohen’s two-days worth of testimony in the long-running Fairfax Financial litigation.
Now don’t get us wrong—there is plenty of great and illuminating stuff in the 242 pages of deposition testimony Reuters obtained through a court motion to unseal documents in the civil lawsuit. As we noted in our story, Cohen is pressed at great length for his views on insider trading—he thinks the laws are “vague”. And as we highlighted in our blog, there’s even an amusing little feud between the lawyers over how the SAC Capital founder should addressed.
-
About Matthew
-
Follow Matthew
