Showing archive for: “Financial Regulation”
SEC Tech Measures
Today’s W$J has an article detailing tech oriented measures being pushed at the SEC by Chairman Cox. These measures include: • Offering incentives to companies to disclose financial information in a way that tags various pieces of data — such as revenue, profit margins and reserves — so that investors can compare companies against each ... SEC Tech Measures
Venture Capital Pre-Emptive Financing
Today’s W$J has an article on venture capital “pre-emptive financing,� a term I had not heard before. As the article describes: Pre-emptive financing happens when a venture capitalist seeks out a promising start-up business and offers it money out of the blue, before the company tries to raise a second or third round of cash. ... Venture Capital Pre-Emptive Financing
Reimbursement Proposal for Short-Slate Proxy Contests
The American Federation of State, County and Municipal Employees (“AFSCMEâ€?) has submitted the following Rule 14a-8 proposal to American Express, Citigroup and Bank of New York (ht: Corporate Governance Blog): RESOLVED, that shareholders of ________ urge the board of directors (the “Board”) to amend the bylaws to provide procedures for the reimbursement of the reasonable ... Reimbursement Proposal for Short-Slate Proxy Contests
Hedge-Fund-Like Mutual Funds
A recent W$J article reports that a number of mutual funds have amended their fund investment policies to allow the funds to engage in hedge-fund-like investment strategies such as the use of derivatives, leverage and short-selling. I think this is a favorable development because it increases the types of investment options available to everyday investors. ... Hedge-Fund-Like Mutual Funds
Buy-Out Prices in Nose Bleed Territory
According to this FT article, Stephen Schwarzman, the head of the buy-out firm Blackstone (a firm that will soon close on a record $13.5 billion buy-out fund), warned that prices being paid in buy-outs are in “nose bleed territory� and that “seeds of excess� are being sown. As Schwarzman put it: “[W]hen it ends, it ... Buy-Out Prices in Nose Bleed Territory
Management Talent Leaving in Droves for Private Equity
According to this Business Week article, top managers are fleeing public companies for jobs with private equity funds to hunt for deals, head portfolio companies, or both. The attractions are twofold: money and freedom. The pay can be outrageously good even at the entry levels; for CEOs, it can be spectacular. The flexibility is alluring, ... Management Talent Leaving in Droves for Private Equity
IPO Allocation Abuse Rules
A recent W$J article entitled “Can Bankers Resist the Temptation?� notes that the IPO market is heating up and wonders whether underwriters can resist the temptation of allocating hot IPOs to hedge funds for flipping. Hedge funds now account for as much as a third of IPO allocations and “an increasing chunk of Wall Street’s ... IPO Allocation Abuse Rules
Mutual Fund Name Changes
Today’s W$J has an article about mutual fund name changes entitled “The Bull Market in Mutual-Fund Name Changes.” Last year 719 funds changed their names, up from 505 the year before. Some name changes are the result of acquisitions. For example, following the acquisition of various Strong mutual funds, Wells Fargo changed their names to ... Mutual Fund Name Changes
Venture Backed Firms Going Public in London
This article from CFO.com reports that VCs have been having trouble taking their portfolio companies public in the U.S. largely because SOX has made it too expensive for small companies and the Wall Street research settlement has resulted in much less analyst coverage of small public companies. Larry Ribstein also talks about this here. As ... Venture Backed Firms Going Public in London
A Big Bite of Whopper
The W$J reports today (click here) that Burger King will be taking on $350 million in additional debt to fund the majority of a $400 million pre-IPO special dividend to its private equity fund owners. IPO proceeds will then be used to pay down the debt, apparently leaving little, if any proceeds, leftover. The article ... A Big Bite of Whopper
Record Hedge Fund Launch
The FT reports today that Jack Meyer, former manager of Harvard’s $25 billion plus endowment, has raised more than $5 billion for his new hedge fund, Convexity Capital. This represents the most successful launch in hedge fund history. Does this mean the talk of the decline of hedge funds was overblown? Perhaps not. Meyer is ... Record Hedge Fund Launch
More on Hedge Fund Adviser Registration
Following up on this post, according to an article in today’s FT, 1,000 hedge fund advisers had already registered with the SEC prior to adoption of the registration requirement, so it appears that about 1,800 hedge fund advisers will be registered. Again, there are an estimated 8,000 hedge funds. Granted some advisers likely manage more ... More on Hedge Fund Adviser Registration
