Cathie Wood’s ARK Has a Challenger as Goldman Sachs Launches Tech ETF [Barron’s]
Thursday morning, Goldman Sachs Asset Management is unveiling the Goldman Sachs Future Tech Leaders Equity ETF, an actively managed fund that will invest in listed technology companies with market capitalizations of less than $100 billion, across both developed and emerging markets. The fund, which is launching Thursday, will trade on the NYSE under the ticker GTEK.
Investment Firm Lexington Partners Explores Sale [WSJ]
Closely held Lexington, which specializes in buying secondhand stakes in private-equity funds, has hired Goldman Sachs Group Inc. to advise on a potential sale, which could value the firm at a few billion dollars, some of the people said.
Among the interested bidders are large private-equity firms including KKR & Co., the people said…. The rise of the market for secondaries has made private equity a more liquid asset class, with firms such as Lexington, Paris-based Ardian and the Strategic Partners unit of Blackstone Inc. raising billions of dollars for the purpose of purchasing stakes in existing buyout funds from other investors.
Former Top Morgan Stanley FX Trader Leaves After Lengthy Probe [Bloomberg]
Thiago Melzer, who oversaw trading in currency derivatives known as FX options, was “discharged” in June because of allegations concerning the valuing of certain trades and using communication methods not approved by the firm…. The bank started an internal probe into suspected wrongdoing at the unit in late 2019….
Melzer is now starting a new investment fund in Sao Paulo called Upon Global Capital, where he will be chief investment officer….
Elizabeth Warren Calls on Fed Banks to Bar Leaders From Stock Trading [WSJ]
“The controversy over asset trading by high-level Fed personnel highlights why it is necessary to ban ownership and trading of individual stocks by senior officials who are supposed to serve the public interest,” Ms. Warren wrote in letters addressed to the leaders of the 12 regional Fed banks…. The Wall Street Journal last week reported that Dallas Fed President Robert Kaplan and Boston Fed President Eric Rosengren actively traded stocks and other investments over the course of 2020. The other 10 regional Fed leaders largely refrained from such financial activity.
Founder Of $90 Million Cryptocurrency Hedge Fund Sentenced To More Than Seven Years In Prison [DOJ]
“According to Stefan He Qin, founder of Virgil Sigma and VQR, a pair of cryptocurrency hedge funds in New York, Virgil had a stated market strategy of ‘market neutral,’ safe investments. Qin’s investors soon discovered that his strategies weren’t much more than a disguised means for him to embezzle and make unauthorized investments with client funds. When faced with redemption requests he couldn’t fulfill, Qin doubled down on his scheme by attempting to plunder funds from VQR to satisfy his victim investors’ demands. Qin’s brazen and wide-ranging scheme left his beleaguered investors in the lurch for over $54 million, and he has now been handed the appropriately lengthy sentence of over seven years in federal prison.”
Theater chain AMC to accept other cryptocurrencies along with bitcoin [Reuters via Yahoo! News]
AMC Entertainment Holdings Inc boss Adam Aron said the theater chain would accept ether, bitcoin cash and litecoin alongside bitcoin for ticket purchases…. "People are not buying Bitcoin to spend them. For me, it's still not a nicely established currency in the sense that it's more of an investment for the future or for something that we may want to have in the future," said Ipek Ozkardeskaya, senior analyst at Swissquote Bank.