Pioneer Global 'victim' of fraudster Madoff
HEDGE funds promoted by a division of the investment company Pioneer Investments were exposed to the US fraudster Bernard Madoff.
According to accounts filed by Pioneer Global Investments Limited, the company learned in December 2008 "that certain hedge funds and notes issued by Bayerische Hypo und Vereinsbank, for which it is engaged in the provision of marketing and promotional services, were exposed to the alleged fraud perpetrated at Bernard L Madoff Investment Securities."
Madoff earned notoriety in 2008 when he admitted to running an $80bn (€55bn) Ponzi scheme, wiping out the savings of investors. He was sentenced to 150 years in prison in 2009.
Overall, Pioneer narrowed its 2010 losses to €2.3m from €19m a year earlier.