Thursday, May 13, 2021
71.5 F
Fort Worth

Dallas hedge fund manager in online battle with Grapevine residential fund

Dallas-based hedge fund investor Kyle Bass has launched a website that takes on a Grapevine-based United Development Fund (UDF), a company in which he has a short position.

The website alleges that UDF is a “Ponzi scheme.” UDF has denied these charges and sys it is cooperating with a Securities and Exchange Commission “fact-finding investigation.” Bass and others have been calling the firm’s practices into question for several months, driving the price of its stock down.

Bass’ firm, Hayman Capital Management L.P. maintains a short position in the common stock of UDF. On the website, Bass and Hayman Capital admit they will make money if the stock price of UDF declines.

According to a news release from the company: “We believe that this hedge fund is trying to unlawfully profit by manipulating and depressing the price of United Development Funding IV shares.” UDF is a residential finance company and has financed more than $1 billion in residential community development in Texas.

Bass , a Texas Christian University alumnus, is the founder and managing member of the Hayman Capital Master Fund. He started the hedge fund in 2006 after saving $10 million from selling bonds for Wall Street firms such as Bear Stearns & Co. and Legg Mason Inc.

https://udfexposed.com/

Would you like the option to login with your social media account?
Login using Facebook, Google, or LinkedIn instead of having to create a FWBP account?

Get our email updates

Robert Francis
Robert is a Fort Worth native and longtime editor of the Fort Worth Business Press. He is a former president of the local Society of Professional Journalists and was a freelancer for a variety of newspapers, weeklies and magazines, including American Way, BrandWeek and InformatonWeek. A graduate of TCU, Robert has held a variety of writing and editing positions at publications such as the Grand Prairie Daily News and InfoWorld. He is also a musician and playwright.

Related Articles

Our Digital Sponsors

Stay Connected

7,458FansLike
1,942FollowersFollow
11,843FollowersFollow
93SubscribersSubscribe

Join Our Newsletter

Latest Articles