News

FCA investigates Odey Asset Management

Morgan Stanley on Thursday moved to sever ties with Crispin Odey’s Odey Asset Management in the wake of a Financial Times investigation that chronicled how the hedge fund manager evaded sexual assault allegations for decades.

The bank has begun the process of terminating its prime broking relationship with Odey, according to people familiar with the situation. Morgan Stanley and Odey Asset Management declined to comment.

The decision came after the publication of a Financial Times investigation on Thursday that found Odey has sexually harassed or assaulted 13 women over the past 25 years. Eight of the women included in the investigation said they were sexually assaulted by him. A law firm representing Odey said he “strenuously disputed” the allegations.

Prime brokers offer a range of services to their hedge fund clients, including stock lending, leverage and trade execution. They also link hedge funds with potential investors such as pension funds, foundations and endowments.