Ex-CIBC Brokers Accused Of Market-Timing

Law360, New York (February 1, 2007, 12:00 AM EST) -- The U.S. Securities and Exchange Commission has filed a suit against two former CIBC World Markets Corp. traders, alleging that the brokers engaged in market-timing with mutual fund accounts.

The SEC has initiated proceedings against Michael Sassano and Dogan Baruh, claiming the two former brokers worked with hedge funds to make a series of rapid trades using mutual fund accounts.

Market-timing, which involves making short-term trades with high frequency, is not necessarily illegal, but is prohibited by many mutual funds.

“Mutual funds, for example, repeatedly detected...
To view the full article, register now.

Law360 UK

UK Financial Services

Read Our Latest UK Legal News & Analysis

Financial Services Law360 UK and Insurance Law360 UK provide breaking news and in-depth analysis on U.K. and European Union regulation, enforcement, legislation, and litigation involving banks, investment firms, insurers, and more.