Bill Ackman Calls Carried Interest Loophole an ’Embarrassment’ Under New Tax Law (Canada Today)
Washington Democrats may have found an unlikely ally in their bid to end a longstanding tax rule enjoyed by some of Wall Street’s wealthiest executives: Hedge fund billionaire Bill Ackman. The Pershing Square Capital founder on Thursday slammed the so-called carried interest “gap” — a tax treatment that allows private equity and hedge fund managers to pay a reduced tax rate on their share of profits from fund investments.
Crypto: PayPal’s Ambitions Could Be Crushed By A Powerful Player (The Street)
PayPal’s crypto offering could be facing its last days if activist hedge fund Elliott Management has its say. The hedge fund recently took a stake in the beleaguered payments behemoth, according to the Wall Street Journal. The amount of the stake and what Elliott paid was not disclosed. Elliott could encourage PayPal to eliminate its crypto offering that was launched in 2021. One reason that Elliott was drawn to the payments company is that it has $8 billion of cash and short-term investments.
Scotiabank Canadian Hedge Fund Index Ended June -0.89%, -2.8% YTD (Opalesque)
Opalesque Industry Update – The Scotiabank Canadian Hedge Fund Index ended June 2022, down -0.89% MOM on an asset-weighted basis and down -3.95% MOM on an equal-weighted basis. The comparable benchmark indices were both down for the month, with the S&P TSX 60 Total Return Index and S&P 500 Total Return Index posting decreases of -8.33% and -8.25% respectively. The Scotiabank Canadian Hedge Fund Index provides a comprehensive overview of the Canadian Hedge Fund universe. Returns are calculated using an equal-weighting and an asset-based weighting of the funds.
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Most Hedge Fund Subsectors Lost Money and Investor Capital in May as Redemptions Increased (Hedge Week)
Hedge fund redemptions increased slightly in May to $27.53 billion, 0.54% of industry assets. Despite the broader industry trend, some hedge fund subsectors did manage to add to assets in May, with multi-strategy funds leading the way at +$2.90 billion, 0.42% of assets. The managed futures industry had a better experience, recording the fourth consecutive month of inflows (+$1.79 billion). Despite a broader industry trend that saw hedge fund redemptions accelerate slightly in May to -$27.53 billion (-0.54% of industry assets), some hedge fund subsectors did manage to add to assets over the month, according to the latest Barclay Fund Flow Indicator published by BarclayHedge.
Downfall: Three Arrows Capital’s Collapse Explained (Capital.com)
What made one of the top firms in the cryptosphere, which at its peak managed around $18bn in crypto assets, tumble and fall towards the exploration of a financial bailout or asset sale? Three Arrows Capital (3AC), a crypto hedge fund, tumbled when it suffered heavy losses due to the collapse of LUNA and Terra as it held a significant position in the two assets, roughly $560m at its peak.
Point72’s Internship could Land a Dream Gig at Steve Cohen’s $24 Billion Fund. Here’s What You Need to Know. (Business Insider)
Here’s how to stand out among the pack for Steve Cohen. The hedge-fund manager and New York Mets owner founded the $24.4 billion fund Point72, and its internship is one of the most sought after on Wall Street. Importantly, a summer internship is often a precursor to the Point72 Academy — a 10-month training program for college graduates and early-career folks looking to carve out a living as an investment analyst.
New Captain To Steer UBS Hedge Funds Business (Finews.com)
The Swiss bank’s cherished hedge fund boutique O’Connor is reshuffling its top management at a time when the industry is seeing significant outflows. UBS is naming Blake Hiltabrand as global head of UBS O’Connor business, and is appointing Bernard (Bernie) Ahkong and Casey Talbot as co-CIOs of the unit, it said in a statement Friday. All three will replace Kevin Russell, who carried out the roles of CEO and CIO at the bank’s hedge fund business and looks back on a 29 year career in the industry, it said.
Silversmith Collects $1.25bn for the Fourth Fund (Opalesque)
Boston-based growth equity firm Silversmith Capital Partners announced the final close of its fourth fund with $1.25B in capital commitments from limited partners. Fund IV will follow the investment strategy of its preceding funds of backing profitable SaaS, IT, healthcare services, and healthcare IT startups. Silversmith’s team has contributed an additional $90 million to the fund. According to a press release from the company, Fund IV is the largest to date and brings the total capital raised to more than $3.3 billion since its founding in 2015. Silversmith received strong support from its existing investor base of leading endowments, foundations, fund-of-funds, and pension funds, while also adding a small number of new institutional investors.
Friday 7/29 Insider Buying Report: CBSH, HBAN (Nasdaq.com)
At Commerce Bancshares, a filing with the SEC revealed that on Wednesday, Director Blackford F. Brauer purchased 5,000 shares of CBSH, for a cost of $68.87 each, for a total investment of $344,372. So far Brauer is in the green, up about 1.2% on their buy based on today’s trading high of $69.69. Commerce Bancshares is trading up about 0.4% on the day Friday. Before this latest buy, Brauer bought CBSH at 2 other times during the past twelve months, for a total investment of $670,834 at an average of $67.08 per share. And also on Wednesday, Director Gary Torgow bought $249,975 worth of Huntington Bancshares, buying 19,382 shares at a cost of $12.90 a piece. This buy marks the first one filed by Torgow in the past twelve months.
Lockheed Martin Insider Trades $1.29M In Company Stock (Benzinga)
James D Taiclet Jr, and insider at Lockheed Martin (LMT) reported a large insider sell on July 28, according to a new SEC filing. What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Thursday showed that Jr sold 3,239 shares of Lockheed Martin. The total transaction amounted to $1,290,871.
Former Fed Member Ken Fisher: I’m Sorry To See Nancy and Paul Pelosi Take Advantage Of Insider Trading (RealClearPolitics.com)
Former Fed member Ken Fisher was on CNBC to talk about reforms that could be made to insider trading for Congressional members. “With regard to the House and Senate, clearly people have taken advantage of inside information forever. I’m not against their tapping that down. and I’m sorry to see that Paul Pelosi and Nancy Pelosi and others are, appear, it’s all appearance right now we don’t know the facts, to have taken advantage of inside information. So something needs to be done.”
