Bear Stearns funds file for bankruptcy

Deals

Two Bear Stearns Cos. hedge funds involved in mortgage investments have filed for bankruptcy, court documents the US investment bank filed said Wednesday.

The Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Master Fund Ltd. and the Bear Stearns High-Grade Structured Credit Strategies Master Fund Ltd. filed for protection under Chapter 15 of the federal bankruptcy code, the documents said. Chapter 15 deals with ‘cross-border insolvency’ because the funds are registered in Britain’s Cayman Islands in the Caribbean.

Bear Stearns, the fifth-largest US investment bank, told investors July 17 the two hedge funds were almost worthless, with the enhanced-leverage fund essentially valueless and less-leveraged fund worth 9% of its April value. A Bear Stearns spokesman was not immediately available to comment.

Bear Stearns said Tuesday it froze the assets in a third fund, the Asset-Backed Securities Fund, which had put some $900 million in mortgage investments, stopping investors from taking their money from it. (monstersandcritics.com)

ADVERTISEMENT

Reforms to raise productivity would strengthen recovery - OE... Analysis

Reforms to raise productivity would strengthen recovery - OE...

Meeting called to address Pegasus spyware lacks quorum  Parliament

Meeting called to address Pegasus spyware lacks quorum 

Skanska commercial dev unit names new EVP of operations Hung... Appointments

Skanska commercial dev unit names new EVP of operations Hung...

Zsa Zsa Gabor's ashes buried in Budapest City

Zsa Zsa Gabor's ashes buried in Budapest

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.