Hedge Fund News: Dan Loeb, John Paulson, Sony Corporation (ADR) (SNE)

Magnetar Won’t Be Charged In CDO Case (FINalternatives)
Hedge fund Magnetar Capital appears poised to avoid allegations of wrongdoing over a controversial collateralized debt obligation. The Securities and Exchange Commission is preparing to charge Bank of America’s Merrill Lynch over its role in creating the $1.5 billion Norma CDO I. But the regulator will not charge Magnetar, The Wall Street Journal reports. The decision makes it likely that no hedge fund will face a civil enforcement action over CDOs created prior to the financial crisis. While the SEC plans to take action on Norma and at least one other CDO, the agency plans to wrap up the matters this year.

European Hedge Funds Pay Out Big Bonuses (Wall Street Journal)
While bankers continue to see their once bounteous pay packets slowly trimmed by incoming regulation and public scrutiny, a number of hedge-fund managers continue to enjoy healthy stipends. Annual profits at the European arm of Tudor Investment Corp., the U.S. macro hedge fund founded by Paul Tudor Jones, grew to $70 million in the 12 months to March 31, 2013, according to company filings this week. That compares with $66 million the previous year. Revenues increased to $120.6 million, up 11.7% from $108 million the previous year. The 21 members of the firm shared $69.6 million in the financial year ended March 31, 2013, up from $67.3 million the previous year. The highest-paid member received $27.6 million, up from $23.3 million.

Hedge Fund Glenview Turns Down HMA’s “Hybrid Board” Proposal (Becker’s Hospital Review)
Yesterday, Naples, Fla.-based Health Management Associates said it would approach its largest shareholder, New York City-based hedge fund Glenview Capital Management, to add Glenview’s nominees to the board of directors. However, Glenview declined the sitting board’s proposal, saying it wanted all shareholders to determine board composition. Over the past several weeks, Glenview has made a concerted effort to replace the entire board of Health Management with eight nominees of its own. Glenview executives have said the current for-profit hospital board has been “substandard,” has led to financial and legal issues and generally has “misaligned” priorities with those of shareholders.