Devaney’s Funds Wiped Out After United Capital Gets Margin Call

Bloomberg- John Devaney is liquidating hedge funds at his United Capital Markets Holdings Inc. after failing to meet a margin call from Deutsche Bank AG.

Deutsche Bank seized and auctioned off collateral after the Horizon group of funds failed to meet the bank’s demands, according to a letter to clients obtained by Bloomberg News yesterday. The funds were frozen a year ago because of wrong-way bets on mortgage securities.

“The survival of the funds and any potential recovery for their investors has been dependent on these lenders continuing their relationships with the funds,” Devaney wrote in the letter dated July 9. United Capital is based in Key Biscayne, Florida.

Read Complete Article

About the HedgeCo News Team

The Hedge Fund News Team stays on top of breaking news in the Hedge Fund industry on an hourly basis. Signup to HedgeCo.Net to recieve Daily or Weekly news updates from our team.
This entry was posted in Syndicated and tagged , , , , , , , , , , , , , . Bookmark the permalink.

Comments are closed.