Reuters logo
Mutual fund adviser settles with U.S. SEC over handling of collateral
February 12, 2015 / 4:58 PM / 3 years ago

Mutual fund adviser settles with U.S. SEC over handling of collateral

WASHINGTON, Feb 12 (Reuters) - A mutual fund adviser will pay a $50,000 penalty to settle civil charges that the firm improperly maintained millions of dollars of cash collateral with counterparty brokerages instead of with the custodial bank, the U.S. Securities and Exchange Commission said.

The SEC said on Thursday that it discovered problems with the way Water Island Capital LLC handled the funds during a routine compliance exam. The firm is settling without admitting or denying the charges, the SEC said.

Reporting by Sarah N. Lynch; Editing by Emily Stephenson

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below