Former BrokerDealer Biz Dev Babe Charged With Sexual Harassment

Posted on October 23, 2014 by admin

BrokerDealer.com blog update courtesy of extract from muckracking outlet Dealbreaker.com

According to lawsuits by two of her former subordinates, during her time as a senior vice-president and head of business development for North America, Eileen Hedges told another one of her subordinates, 27 year-old “Jane Doe,” to:

Dress provocatively on the job
“…have sex with male HSBC executives and clients at company-sponsored events”
Specifically, “have sex with an unnamed senior executive at the bank’s Mexico unit”

Eileen Hedges, Frmr SVP HSBC

The boss of the year also allegedly:

“…falsely told co-workers that Doe was having sex with clients when they traveled to bank functions outside the U.S.”
“…told Doe about her own alleged extramarital affairs with HSBC executives.”¹
“… attempted to pull down Doe’s blouse and expose her breasts in the presence of male HSBC employees.”

And the reason we now know all this is because, naturally, the subordinates who filed the lawsuits were (supposedly!) retaliated against by Hedges after complaining that her demeanor on the job was slightly less than professional.

For the full story, please visit dealbreaker.com

Biggest BrokerDealer Compliance Officer Charged In Insider Trading Case

Posted on October 15, 2014 by admin

BrokerDealer.com blog update courtesy of reporting by InvestmentNews.

The Securities and Exchange Commission announced Wednesday that it was taking enforcement action against a former compliance officer at brokerdealer Wells Fargo Advisors who allegedly altered a document before it was provided to the SEC during its investigation into a former broker’s insider trading.

The charges stem from the case of Waldyr Da Silva Prado Neto, whose alleged scheme made more than $2 million from insider trades in Burger King Holdings Inc. stock ahead of an acquisition announcement on Sept. 2, 2010. )

The SEC said that after it charged Mr. Prado in September 2012, Judy K. Wolf, who was responsible for identifying potentially suspicious trading activity at broker-dealer Wells Fargo Advisors, went back and revised a 2010 report to make it appear that she had performed a more thorough review of Mr. Prado.

Initially, she had closed the report into Mr. Prado’s Burger King trades with “no findings” and did not notify any superiors of potential red flags, the SEC said.

To gain greater insight to the global universe of brokerdealers, the BrokerDealer.com database provides information on thousands of brokerdealers throughout the world.

The SEC said in its action that Ms. Wolf should have reported multiple red flags that were noted, including that Mr. Prado and his customers represented the top four positions in Burger King Securities firmwide, he and his customers purchased the securities within 10 days of the announcement, made substantial profits and that he, his customers and the company acquiring Burger King were all Brazilian.

To continue reading this story, please visit InvestmentNews.com

The Revolving Door: Top Law Firm Snags Former SEC Deputy Director for BrokerDealer Practice Area

Posted on October 13, 2014 by admin

Brokerdealer.com blog update courtesy of TradersMagazine Oct 13 reporting.

Willkie Farr & Gallagher announced that James R. Burns, former deputy director of the SEC’s Trading & Markets Division announced will be joining the law firm and practice in Willkie’s Asset Management Group. He will be based in the Washington, D.C. office and his practice will focus on counseling investment managers and broker-dealers on all aspects of their business, including regulatory, compliance and enforcement matters.

Burns will join former Director of the SEC’s Division of Investment Management, Barry Barbash, Co-Chair of the Group.

“We are truly delighted that Jim has decided to join our team. He was recognized throughout his tenure at the SEC as a star member of the Commission’s staff and has deep experience and expertise that spans the trading and markets and asset management areas. He will be a great resource for our clients and for the Group,” said Barbash.

While at the SEC, Burns most recently had oversight responsibility for core regulatory functions within the Division of Trading and Markets, including market supervision, analytics and research, derivatives policy and trading practices, and the chief counsel and enforcement liaison offices. In particular, he oversaw key initiatives including the adoption of the Volcker Rule and rules to implement the derivatives reform provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act. During his tenure, he also coordinated the division’s response to significant market events, its participation in international regulatory initiatives, and its development and implementation of new analytical tools for market oversight.

Prior to joining the Division, Burns served under Chairman Mary L. Schapiro as the agency’s Deputy Chief of Staff, where he advised on the development and execution of the SEC’s broader rulemaking and policy agenda. He joined Chairman Schapiro’s staff as counsel in 2010, having first come to the SEC as counsel to Commissioner Kathleen Casey in 2008. In these prior SEC staff capacities, he worked chiefly on investment management and trading and markets matters arising from the financial crisis. Before joining the SEC staff, Burns worked in private practice, advising investment managers and fiduciaries, fund clients, broker-dealers, and other market participants on a variety of regulatory, compliance and enforcement matters.

Burns received his J.D., cum laude, from Georgetown University Law Center. He holds masters and doctoral degrees from the University of Oxford, and graduated with an A.B., magna cum laude, from Harvard College

Wall Street Women On Top: BrokerDealer and Buyside Gals Score Awards For…

Posted on October 9, 2014October 9, 2014 by admin

Brokerdealer.com blog update profiles Broker-Dealer industry publication Traders Magazine’s “2014 Women of Excellence Awards”

“..Unveiled last night, the 2014 “Wall Street Women: Celebration of Excellence” Awards cited 19 of what one NYSE floor trader called “The Street’s Smartest and Sweetest Gals” for their performance across 19 categories, including leadership, mentorship and trading.

Mary Clark, ETF Trading Desk, WallachBeth Capital

Giving equal accolades to women from both sides of the market aisle (buy-side investment managers and sell-side broker-dealers), in the “most-watched” equities trading category, Blackrock’s Vivian Bakonyi, the buyside firm’s program trading “czarina” shared the top slot with the sell-side’s “dame doyenne of ETF best execution,” industry veteran Mary Clark of WallachBeth Capital.

For Mentor of The Year, Traders Mag judges also came to a split decision, with top honors shared by Citigroup’s MD Of Global Markets Christine Sperry and OhioPERs trader Joan Stack.

BrokerDealer.com salutes all of the nominees and each of the winners!

The full list of winners is available by clicking on this link to TradersMag.

No Sweating This Biotech IPO; Dermira Prices 7.8mil Share Offering

Posted on October 4, 2014October 4, 2014 by admin

Brokerdealer.com blog update courtesy of Renaissance Capital

Dermira, a biotech targeting skin conditions such as psoriasis, excessive sweating and acne, raised $125 million by offering 7.8 million shares at $16, the high end of the range of $14 to $16. Dermira plans to list on the NASDAQ under the symbol DERM. Dermira initially filed confidentially on 6/26/2014. BrokerDealers Citi and Leerink Partners acted as lead managers on the deal.

The Redwood City company led by CEO Tom Wiggins priced its shares at $16, the high end of its target range. It jumped by more than 10 percent Friday when it began trading on Nasdaq with the symbol of DERM. But it finished the day at $15.55, down almost 3 percent.

Despite $68 million in accumulated deficits and no revenue, the company had the best IPO of the three from the Bay Area this week. Together, they are the first companies in the region to go public since late July. Before pricing the shares, Dermira boosted the amount of stock offered by 46 percent.