The increasing lopsidedness of the U.S. bond market is encouraging regulators to investigate the industry, Bloomberg reports. As some of the largest hedge fund firms—among them Pacific Investment Management Co, BlackRock Inc and Bridgewater Associates—continue to expand and double their investments in debt, Federal Reserve data shows that Wall Street banks are scaling back their involvement in bonds.
For the Securities and Exchange Commission, this is cause for concern, according to Bloomberg. The agency is looking into whether the biggest fish in the pond are getting preferential prices and whether firms are overcharging investors.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
