06 November 2009

Insider Trading in US Hedge Fund

US hedge fund Galleon Group is at the core of a huge alleged case of insider trading, activity which is said to have gained those involved total illegal profits of over $50 million.

The accused span across the US and include fund managers, lawyers, traders and executives.

So far, around 20 people have been accused and arrested.

It is clear that investors looking for a fund manager would be best advised to tread with extreme caution before signing up with a fund. However, criminal activity is a reality which must always be kept in mind - check and double-check a company before placing your hard-earned capital with a manager.

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