From Komfie Manalo, Opalesque Asia – It seems there is no end to SAC Capital’s Steven Cohen’s woes.
On Tuesday, San Francisco-based Ironwood Capital Management sent a notice to SAC Capital it would pull out some $100m from the troubled hedge fund, adding to the list of worries for Cohen who is already facing possible charges over an alleged insider trading deal, reported Reuters.
The report said that that fund of hedge funds decided to pull out from SAC Capital after Cohen announced in early May that it would no longer cooperate "unconditionally" with authorities regarding the ongoing insider trading investigation against former and current SAC Capital executives.
Reuters cited a person privy to information who said that the changes in transparency in access to information has made it difficult for Ironwood to raise additional funds and forced the firm to request redemption from SAC Capital.
A separate report by The Journal said that Ironwood completely U-turned from its earlier assurance to one of its clients that it would keep its money in SAC Capital because the bulk of the fund invested to the hedge fund was with Cohen and his employees.
News of Ironwood’s withdrawal is a major blow to SAC Capital who is still grappling from the earlier decision by Blacks......................
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