F&C Asset Management has emerged as one of the most short-sold companies listed on the stock market, with more than 10% of its shares in the hands of investors betting its price will fall further, The Telegraph reports.
The situation is unusual, because F&C has been put up for sale by Friends Provident, which owns 52% of the asset manager. There is market speculation that there could soon be a bid for F&C, which is currently capitalised at £707m. The financial services sector is being widely shorted by investors who expect rising defaults by customers and continuing turmoil in global markets. However, almost all of the F&C shares held by the likes of Friends Provident, investment firm Dawnay, Day, with 26%, and Dutch financial services group Eureko, which has 11%, are being shorted. This amounts to aro...
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