FSA has also banned Joseph from performing any significant influence function in regulated financial services for breaching Principle 6 of the FSA’s Statements of Principle for Approved Persons.
Joseph was compliance officer at Dynamic Decisions Capital Management (DDCM), a hedge fund management company based in London (and Milan).
According to FSA, following the collapse of Lehman Brothers, the investment strategy adopted by DDCM for fund management resulted in losses amounting to 85% of the fund’s total assets under management.
In late 2008, a senior employee at DDCM entered into a number of contracts, on behalf of investment funds managed by DDCM, for the purchase and resale of a bond.
FSA said Joseph relied wrongly on another employee of DDCM, and on her belief that external lawyers were instructed and would have acted on concerns as appropriate.
