© Reuters. Briton Crispin Ode arrives at Westminster Magistrates Court in London on September 28, 2020. REUTERS/Hannah McKay/File Photo
(Reuters) – The company’s executive committee, Crispin Oddy, one of Britain’s best-known hedge fund managers, said she had left Oddy Asset Management after allegations of sexual misconduct.
The Financial Times and Tortoise, in a joint publication on Thursday, reported allegations by 13 women that Oddy had sexually assaulted or harassed them over a 25-year period. He denies these allegations.
Here are some key facts about Oddi and his London hedge fund, the allegations, and the fallout:
WHO IS CRISPIN ODEY AND ODEY ASSETS MANAGEMENT?
The 64-year-old Oddy founded his asset management company in 1991. He is a prominent Brexiteer and donor to Britain’s ruling Conservative Party.
Odey Asset Management (OAM) is known for its high leverage bets in the trading of global equities, debt, currencies and commodities. Besides Odey Asset Management, the group also operates Brook Asset Management and Odey Wealth, a private wealth unit.
Former British chancellor Kwasi Quarting was an advisor to OAM.
What is audi better (NYSE: known for?
Oddy came to prominence during the 2008 financial crisis when he amassed a fortune in short selling bank stocks, an investment practice that involves betting that the share price will fall.
How big is Audi Asset Management?
The company had $4.8 billion in assets under management, according to documents filed with the Securities and Exchange Commission in September 2022.
How did Audi perform?
OAM is known for its choppy performance. Its main fund, Odey’s European Fund, is down nearly 8% this year through Friday, after returning about 151% in 2022, its best year ever, as it downgrades UK government bonds.
What are the allegations against Audi?
Referring to the joint publication by the Financial Times and Tortoise, Uddy told Reuters by phone on Thursday that it was “a paraphrase of an old article and none of these allegations have ever been raised in a courtroom or investigation.”
Audi did not immediately respond to Reuters requests for comment on Saturday.
A source familiar with the situation told Reuters that the British Financial Conduct Authority (FCA) had been investigating separately the company since 2021.
The fund manager was acquitted of indecent assault by a UK court in 2021.
How has OAM responded?
The company’s executive committee said on Saturday that Audi would leave the asset manager.
A source familiar with the matter told Reuters that the company intends to change the name of the company.
OAM “does not recognize the image of the company it has painted” the allegations of sexual misconduct published by Audi and published by the media, it told investors in a June 8 letter seen by Reuters.
Can OAM survive without Odi?
Larger hedge funds such as Odey Asset Management Group consist of many funds with different trading strategies.
Odey Asset Management without its former chairman may hold the majority of the company’s assets under management, according to two people familiar with the matter.
Brook Asset Management and Odey Wealth, both part of the Odey Group, are run by different portfolio managers such as James Hanbury and Peter Martin, CEO of Odey Asset Management.
Only the Odey European Inc fund was overseen by Odey, and the majority of the 151 million euros ($162.28 million) it managed was its own invested money, two people familiar with the matter said.
What are the challenges facing OAM?
Odey Asset Management’s major brokers, including Goldman Sachs (NYSE:), JPMorgan (NYSE:), Morgan Stanley (NYSE: ), reviewing its relations with the company.
Goldman Sachs and JPMorgan continue to review their major brokerage deals with OAM, sources familiar with the matter told Reuters on Saturday.
Morgan Stanley declined to comment on Saturday. UBS, which also serves as OAM’s main broker, did not immediately respond.
Primary brokers are vital to hedge fund operations as they provide trading services, leverage for bets, and custody of securities.
Schroders (LON:) Plc and Canada Life moved on Friday to reduce their dealings with asset management firms with ties to Odey.
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