After 18-years, Citigroup veteran Reaz Islam, is leaving the firm. Mr. Islam most recently was the manager of two Citigroup, Inc. hedge funds that have imploded over the last several months.
The hedge funds, Falcon Strategies and ASTA/MAT, are fixed income funds marketed to individual investors. The funds were sold as low risk, conservative investments. Over the last couple of months, both of these funds have been wiped out.
Falcon Stategies has lost over 75% of its value and ASTA/MAT was at one time down 77%.
Last month Citigroup set aside $250 million to help some investors recoup a portion of their losses. Unfortunately, this set aside does not even begin to fully compensate for investors’ losses. As a result, a number of lawsuits have been filed by aggrevied investors.
Our firm is interested in meeting with investors of these funds in order to evaluate their investments to see if a case of action exists.