PR release from UniMedia LLC Hong Kong June 25, 2014 --- Hong Kong’s investment community is today abuzz with rumors that a major institution in its ranks has left itself seriously over extended following a series of high risk and unsecured trades that have been executed over the last few months. The trades which went against the company are believed to have involved a number of high profile IPOs both in China and the United States as well a number of high risk derivatives.
Though speculation of financial and accounting irregularities concerning certain investments are being mentioned by a number of well placed sources, no formal allegation of wrong doing has been registered with regulators, nor has any company been positively identified as the one in question, though this has not stopped some from describing the company as a well known offshore financial services company that caters to clients both in China as well as the Asia Pacific region.
With the significant downturn of the IPO market in Hong Kong this year, the list of potentially suspect companies is not as short as many might well wish it to be, with a number of institutions based here reportedly seeking additional external financing at this time, though given the description of the supposed company, one name at the top of most lists is that of Abney Associates, a well known presence in Hong Kong which is known to have had a difficult time over the last twelve months.
Speaking on the condition of anonymity, a source employed at the financial services company was willing to say that they had lost significantly on a series of recent trades, though a firm figure was yet to be calculated and that approaches were underway to secure funding to shore up the firm in the short term. No official statement from Abney Associates has been forthcoming at this time and requests for additional information regarding the financial health of Abney Associates have been declined by the company’s representatives.
