A Manhattan-based investment advisory firm and a Toronto-based hedge fund manager have agreed to reimburse $2.877 million to investors who lost money. The SEC announced the decision after charges against the firm and hedge fund manager allegedly misled their clients and investors regarding the strategy of investment and the performance history.
The SEC initially issued an order instituting a settled administrative proceeding to fund manager Peter Kuperman and his firm, QED Benchmark Management LLC. The claim was that they allegedly avoided disclosing information to investors regarding heavy losses in trades and misleading performance history, mixing actual returns with hypothetical returns.
The firm and fund manager are accused of obtaining millions of dollars from their investors based on this false information and then deviated from the plan initially shown to investors.
Andrew M. Calamari, Director at the SEC’s Regional Office in New York, made the following statement:
“Investment advisers must be completely candid when disclosing two key features that investors rely upon when making investment decisions: investment strategy and historical performance. This settlement enables investors in the QED Benchmark LP hedge fund to receive full monetary relief for losses suffered when they were misled on both fronts.”
Without admitting to or denying the findings of the SEC investigation, Kuperman and QED Benchmark Management agreed to reimburse investors $2.877 for their losses. Further, Kuperman agreed to a bar from the securities industry and a $75,000 fine.
If you lost money while investing with QED Benchmark Management LLC and founder Peter Kuperman, a skilled securities fraud lawyer from Meyer Wilson may be able to help you recover your losses. Call today for a free consultation.