Wed, Mar 21, 2018
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Japanese hedge fund group AIJ suspected of losing $2.3bn of client funds

Monday, February 27, 2012

From Precy Dumlao, Opalesque Asia – Sources from Japanese financial regulator Securities and Exchange Surveillance Commission on Monday said that the missing $2.3bn (183.2bn yen) of client pension funds, which had been managed by hedge and other asset managers, AIJ Investment Advisors Co, may have been transferred to overseas private investment trust funds and financial institutions, some of which were located in the Cayman Islands and Hong Kong, the Japanese newspaper Daily Yomiuri reported.

The revelation came as the Japanese regulator pledged to dig deeper into the disappearance of the funds of the Tokyo-based investment advisory firms and at the same time vowed to establish where the money went and how it disappeared.

Sources close to AIJ allege that the advisory firm used most of the assets to purchase an investment trust in the Cayman Islands, using another Tokyo-based company identified as ITM Securities Co.

AIJ caters to mostly small and mid-sized Japanese firms that entrust their money to the advisory firm.

Reports also showed that inspectors from the Japanese regulator were not able to locate several key accounting documents that provides detailed information of the trust’s investment performance in the Caymans.

According to the report, AIJ has provided fake business reports to the Japanese Finance Ministry's Kanto Local Finance Bureau. This was in violation of J......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. John Paulson, once the industry's largest hedge fund, to return some investors' money[more]

    Komfie Manalo, Opalesque Asia: John Paulson is reported to be retuning some of his investors' money as a number of his hedge funds continue to suffer setbacks, reports

  2. DoubleLine's Gundlach sees U.S. 10-year Treasury yield rising, weighing on stocks[more]

    From Reuters/ Jeffrey Gundlach, the chief executive of DoubleLine Capital and known on Wall Street as the "Bond King," said on Tuesday the yield on the U.S. 10-year Treasury note will likely move higher and pressure riskier assets including equities and junk bonds. Gundlach, on an

  3. SEC charges Theranos CEO Holmes with fraud[more]

    Bailey McCann, Opalesque New York: The SEC has charged Elizabeth Holmes, founder and CEO of Theranos and its former President Ramesh "Sunny" Balwani with raising more than $700 million from investors through an elaborate, years-long fraud in which they exaggerated or made false statements about t

  4. Institutional Investors - Overdrawn pension fund scores gains[more]

    From Investments in big banks, pawn shops and rolling papers helped boost public safety workers' underfunded pensions this past calendar years, according to newly released figures. After recording middling returns in recent years, the Police & Fire Pension Fund (P&F) notched

  5. Hot hedge fund loses 21% after bet on volatility goes wrong[more]

    From In December, Shahraab Ahmad shared with his hedge fund clients the principle that helped him trounce peers for two turbulent decades: steer clear of the crowd. He'd turned $50 million into an operation with more than $700 million over three years and delivered market-beating retu