According to Fox Business reporter Chaz Gasparino, the hedge fund has been working overtime to convince investors ahead of the February 15 deadline for submitting redemption notices to stick with Steve. With a moderately to majorly amazing sales pitch:
“SAC senior officials are scrambling to prevent massive redemptions from the $14 billion hedge funds and are currently contacting and holding one-on-one meetings with large investors.* Basically they’re saying don’t pull out, we think we have this under control. They’re saying despite everything you’ve heard, the criminal charges against [Matthew] Martoma, the investigation that involves Steve Cohen…they think Steve Cohen is going to be OK. Internally, they’re saying we may get a large fine, we think we are going to get a large fine, we think we are facing charges but we are not going to be indicted so keep your money with us.”
SAC Capital Scrambling To Prevent Massive Redemptions [VW via CG]
Related: Blackstone seen sticking with SAC despite insider trading probe; Clock Ticks For SAC Investors
*Please say they’ve set up one of those telemarketing phone centers with employees wearing headsets and computers rigged so that for every 15th investor, it’s Cohen himself who talks to them.