Hedge Fund News: Cliff Asness, David Tepper & Brevan Howard

Page 1 of 2

Slow Your Judgments on Fast Trading (BloombergView)
In a recent pair of articles (part I, part II), hedge-fund magnate Cliff Asness defended high-frequency trading against most of the attacks that have been leveled against it. Asness is known for his strong opinions. And while I’m generally on his side in this case, a careful reading of his articles shows that he may have overstated his case and we shouldn’t be so quick to conclude that HFT is completely benign. A lot of people claim that HFT is legalized front running, allowing traders to improperly buy or sell ahead of customers. Asness defends HFT from this claim by narrowing the definition of front running; he insists that if you don’t trade on information that was entrusted to you, you aren’t really front running:..

AQR CAPITAL MANAGEMENT

IRS Backs Investors Seeking Change to Hedge Fund Fees (BusinessWeek)
The U.S. Internal Revenue Service issued a ruling that clears the way for institutional investors to seek changes to incentive fees assessed by hedge funds, which may make it cheaper for them to invest in such offerings. The ruling, 2014-18, clarifies that hedge funds can charge incentive fees cumulatively rather than annually without running afoul of a tax law change adopted in 2008. These fees, typically equaling 15 to 20 percent of an investor’s profits, comprise a big portion of a hedge fund manager’s annual revenue.

Gupta Asks Supreme Court to Allow Him to Remain Free During Appeal (WSJ)
Former Goldman Sachs Group, Inc. (NYSE:GS) director Rajat Gupta on Tuesday asked the Supreme Court to allow him to remain free on bail while he continues to challenge his 2012 insider-trading conviction. If the high court doesn’t continue Mr. Gupta’s bail, he will be required to report to prison June 17. Mr. Gupta, a former director at Goldman and The Procter & Gamble Company (NYSE:PG) +0.07%, was convicted on three securities-fraud counts and one count of conspiring to pass along inside info to Galleon Group hedge-fund founder Raj Rajaratnam. Mr. Gupta was sentenced to two years in prison. Mr. Rajaratnam is serving an 11-year prison sentence and has his own appeal pending at the Supreme Court.

World’s highest-paid hedge fund manager worth $10 billion ‘splits from his wife of 28 years’ (DailyMail)
The world’s highest-paid hedge fund manager – who is worth an estimated $10 billion – has split from his wife, friends have revealed. David Tepper, 56, and his wife, Marlene, 55, have not yet formally filed for divorce but have separated and are telling friends that the marriage ‘has run its course’, a source told PageSix. ‘They hope to settle things quickly, quietly and amicably,’ the source said. The head of $20 billion Appaloosa Management is worth an estimated $10 billion and made $3.5 billion in 2013 alone – meaning that divorce proceedings could reach eye-watering sums.

Lovell Minnick Partners acquires minority stake in 361 Capital (PIOnline)
Lovell Minnick Partners, a private equity firm, is taking a minority stake in hedge fund manager 361 Capital, said W. Bradford Armstrong, principal with Lovell Minnick Partners. Financial terms and the size of the stake are not being disclosed. “Lovell Minnick Partners’ interest in 361 Capital is based on a combination of an excellent management team and a significant opportunity in developing liquid alternatives products for registered investment advisers and other investors,” said Jeffrey Lovell, chairman of Lovell Minnick Partners.

Sen. Warren: Students should not be financing government (CNBC)

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!