Best Of: Inside a hedge fund disaster

最佳精选:揭秘对冲基金灾难

Behind the Money

2024-05-29

21 分钟
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This week, we’re revisiting an episode from last November, about a Wall Street saga that lost shareholders more than $10bn. In 2007, when Dan Och took his hedge fund public, he was making a bet that his company would stand the test of time. More than 15 years, a bribery scandal, and a feud with his protégé later, the FT’s Ortenca Aliaj and Sujeet Indap explain how things did not work out as planned.  - - - - - - - - - - - - - - - - - - - - - - - - - -  For further reading: Sculptor Capital: grey areas cause grey hairs in messy bidding war Fight over Sculptor hedge fund sale entwined in Daniel Och’s tax affairs Sale of Sculptor Capital on cusp of approval after hedge fund brawl - - - - - - - - - - - - - - - - - - - - - - - - - -  On X, follow Ortenca Aliaj (@OrtencaAl), Sujeet Indap (@sindap) and Michela Tindera (@mtindera07), or follow Michela on LinkedIn for updates about the show and more.  Read a transcript of this episode on FT.com Hosted on Acast. See acast.com/privacy for more information.
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  • It's pretty well known in finance that hedge funds can be among the most secretive types of investment firms.

  • Behind that,

  • there's this idea that this secrecy and lack of transparency gives them an extra edge over their competitors.

  • But there's this one hedge fund manager who took a pretty unusual step within his industry.

  • He listed his firm on the stock market.

  • So if you're a public company, obviously you report four times a year.

  • You have to publish securities filings that's time consuming and onerous and you're subject to SEC regulation.

  • That's the FT's Wall Street editor, Sujit Indap.

  • He says that when a hedge fund manager named Daniel Ok decided to take his company public back in 2007,

  • this was a surprising move.

  • And just that kind of scrutiny is not something many hedge fund founders want,

  • who are often very secretive and already have a stable of investors who are loyal to them.

  • By taking his firm public in 2007, Dan Auch made a bold bet on not only himself,