Advisers Turn to Hedged Mutual Funds (WSJ)
Wealth managers are putting more client money into mutual funds that use hedge-fund strategies, seeing a potential shelter in a storm. “We think [they] will hold up the best when the markets get skittish,” says Mark Wilson, chief investment officer at The Tarbox Group in Newport Beach, Calif. The firm manages $350 million. Often called hedged mutual funds, these instruments use some of the complex investment styles and tactics found in hedge funds, such as short-selling, employing leverage and trading in derivatives such as options. But unlike hedge funds, they offer greater transparency and can be traded daily.
Hedge Fund Manager Narula Moves into Madonna’s Digs (IndiaWest)
The Wall Street Journal reports that Deepak Narula, an Indian American financier with a $1.46 billion hedge fund that specializes in mortgages, has purchased a sprawling Manhattan townhouse that was formerly owned by Madonna. Narula, the principal and managing partner of Metacapital Management, has seen his investments post a net return of 41.25 percent and is one of the city’s leading hedge fund managers. He has purchased the pop legend’s 6,000 square-foot co-op apartment, located on 64th Street near Central Park West, for approximately $19.9 million — a relative bargain, since the apartment was listed last November for $23.5 million.
Hedge fund seeks 4 spots on Office Depot board (NewsTimes)
Office Depot’s biggest stockholder is looking to get four directors elected to the office supply company’s board. Hedge fund Starboard Value LP said Wednesday that it was forgoing a consent solicitation so that it could seek the election of Cynthia T. Jamison, Robert L. Nardelli, Jeffrey C. Smith and Joseph S. Vassalluzzo. Smith is the CEO of Starboard, while Nardelli is the former CEO of The Home Depot, Inc. (NYSE:HD) and Chrysler LLC. Jamison is a Tractor Supply Co. board member and the lead director. Vassalluzzo is non-executive chairman at Federal Realty Investment Trust and lead director at Life Time Fitness. He is the former vice chairman of Staples, Inc. (NASDAQ:SPLS).
Regulators To Go After Corzine’s Hedge Fund and Brokerage Fraud (Hedgeco)
US regulators are planning a lawsuit later this week against Jon Corzine over the collapse global financial derivatives broker and hedge fund trader MF Global, formerly known as Man Financial, Reuters reports. The company allegedly dipped into customer funds, spending as much as $1 billion in misappropriated funds to cover it’s losses from scrutiny. MF Global declared bankruptcy on October 31, 2011, and faced liquidation beginning in November 2011.
BlueCrest’s BlueTrend Fund Said to Drop 8.3% in June Selloff (BusinessWeek)
BlueCrest Capital Management LLP’s $14 billion hedge fund that uses computer models to follow trends in asset prices lost 8.3 percent this month as bonds and currencies fell, according to a report sent to investors. The BlueTrend fund has dropped 9.2 percent in the year through June 21, according to the note obtained by Bloomberg News. The hedge fund has produced an average annual return of 12.9 percent since its inception in 2004 and has never had a calendar-year loss.
Lansdowne names Ruddock successor (eFinancialNews)
Alex Snow, who was previously executive chairman of Investec’s UK investment banking division, will take up the chief executive role on September 2, according to a statement from the firm. Snow will become a partner of the firm and join the management committee. Before Investec, Snow was chief executive of Evolution Group, which he founded in 2001 and was acquired by Investec a decade later. Suzi Nutton, who is head of operations at Lansdowne and has been there since its inception, will become chief operating officer, the statement said. She will work closely with Snow in the day-to-day management of the firm.
Myanmar phone contest pits George Soros against SingTel (LiveMint)
Myanmar’s contest for two telecommunication licences attracted bidders from around the globe seeking a foothold in one of the last remaining untapped markets, where only one in 10 people has a mobile phone. The winners are scheduled to be announced on Thursday, ending a six-month race that drew 91 expressions of interest to operate in the country of 64 million people. Norway’s Telenor ASA, Singapore Telecommunications Ltd (SingTel), billionaire George Soros and France Telecom SA (NYSE:FTE) are among the 11 remaining bidding groups.
‘The Daily Show’ Found The Most Offensive And Crude ‘Hedge Fund Manager’ In The World To Make Wall Street Look Bad (BusinessInsider)
“Hedge fund manager” John Tabacco, who runs Fortified Funds, was on “The Daily Show” with host Jason Jones the other day making Wall Street look really bad. The fund manager was featured in a “Money Boo Boo” segment, which poked fun at the dynamic between the U.S. and Canadian banking systems and how Canada hasn’t had a crash in 150 years unlike the U.S. From his pinstripped suit in front of his trading screens to the offensive and sexist remarks that came out of his mouth, Tabacco really epitomized a greedy and sleezy Wall Streeter.
