Hedge fund files lawsuit against money market fund (Fund News)
Third Avenue Institutional International Value Fund, a fund of Third Avenue Management, a New York hedge fund, has filed a class action law suit against The Reserve Management Company of New York.
Paulson & Co. remains bearish on banks (Fund News)
The New Yorker hedgefund Paulson & Co., run by John Paulson, revealed that it had a 1.2% short position in Barclays, a 1.8% short position in Lloyds TSB and short positions of just under 1% in Royal Bank of Scotland and HBOS.
Money market funds in the US suffered an estimated $197bn of net outflows last week as confidence in their safe-haven status weakened after one fund dropped below par and others closed.