Hedge fund boosts negative bet on F&C shares

Hedge fund Trafalgar Asset Managers has boosted a bet F&C Asset Management's shares will keep falling following its plan to acquire Thames River.

The London-based hedge fund manager, which invests around specific market events, announced on Friday it boosted its punt against F&C's shares to 0.4%, from 0.26% at the start of last month. The bet, now worth £1m, on the shares falling further has been made in Trafalgar's Recovery fund. During the month, F&C's shares dropped just 0.5p to 50.5p but they have fallen 20% since 28 April, when the asset manager announced plans to acquire Thames River for up to £53.6m. Trafalgar's announcement is the first public revelation about a short position in F&C since this time. F&C's planned...