Tags: clawbacks, expert networks, new rules, SAC Capital, Steve Cohen
Of all the hedge funds affected by the government’s crackdown on insider trading, SAC Capital has topped the field in both fines paid and traders charged (can’t give you an exact figure at the moment but it’s “requires spreadsheets to keep track of all the cases” big). And while recognition of peerless achievement is always nice, Steve Cohen has gotten a little tired of waking up to find out another one of his employees chopped up evidence of wrongdoing and scattered it through Manhattan, or (allegedly!) sold stock based on material, non-public information passed on by friends in the medical profession.
Although one would have thought a simple “cool it with the securities fraud, you idiots” or a diagram of a foot in an ass would have sufficed re: sending a message that SAC has had it up to here with people trading in the sort of way the SEC frowns upon, apparently some hard and fast policy changes were necessary. They include:
1. Compensation clawbacks for employees “facing criminal or civil cases,” for whom the possibly of prison is not enough of a deterrent.
2. Requiring portfolio managers to get permission from compliance before taking calls with expert network analysts, after the first four freebies. Read more »
Tags: Blackstone, Carl Icahn, Dell, LBOs, M&A, Silver Lake, Southeastern Asset Management
Man, the resistance to this Dell deal is crumbling pretty fast isn’t it? Blackstone dropped its bid two weeks ago, Icahn and Southeastern have been relatively quiet since Icahn defended his right to a free exchange of ideas just before Blackstone dropped out, and the stock is at $13.33, ~2% below the $13.65 deal price, after being as high as $14.51 in the hopes of a better deal.
Dell filed its revised merger proxy today, with revisions presumably mostly driven by the SEC’s comments on its first draft from March. It doesn’t look like the SEC put up much resistance either; here’s a crappy redline and the changes are smallish. Here’s my favorite piece of SEC nitpicking:
Get it? That’s: Read more »
Tags: Centaurus Capital, different Centaurus Capital, parahuman hedge funds, sulking
Just a year ago, investors had two Centaurus Capitals to choose from. And even after John Arnold’s retirement at the ripe old age of 37 last May, those with a penchant for half-man, half-horse hedge funds still had a place to put their money, albeit in a totally different strategy.
Well, no more: The other, less-successful and less-well-known Centaurus is taking its event-driven strategy and going home, because it is sick and tired of the bellyaching and second-guessing. You’ll have to find another hedge fund named for a human-animal hybrid. Read more »
Tags: Executive Compensation, Glass Lewis, indecisiveness, ISS, making a statement, Morgan Stanley, proxy firms
If you’re a Morgan Stanley shareholder on the fence about whether to give the bank your non-binding vote in favor of its executive-compensation plan this year, and would like a proxy firm to make your non-decision for you, you are out of luck. Read more »
Tags: bonus watch, bonuses, livid *and* furious junior mistmakers, Macquarie
The Aussies have some angry junior mistmakers on their hands. Read more »
Tags: Barclays, Bob Diamond, god love this girl, HMD, I'm not sure but I think I did something bad, Liborgate, Nell Diamond, trouble, Twitter
Diamond talked the situation through with Jennifer, his wife of 26 years. “What is the best thing right now I can do for the firm?” he asked. His answer: “Step aside and shut up.” His daughter, Nell, a recent graduate of Princeton, wasn’t quite so discreet. The morning after Diamond announced his resignation, she tweeted: “George Osborne and Ed Miliband you can go ahead and #HMD” — referring to a slang term that can’t be reprinted in these pages. (Google it.) She immediately called her father. “ ‘Dad, I think I did something really bad. I think I’m in trouble,’ ” Diamond recalled her saying. He told her: “Sweetie, I love you. That’s so nice. I think we’re probably all in trouble.” [NYT, earlier]