Former Aviva Investors analyst Mothahir Miah banned and fined £139,000 by FCA for cherry picking hedge fund trades
The Financial Conduct Authority (FCA) has hit a former investment analyst at Aviva Investors with a £139,000 fine and banned him from taking part in any regulated activity in the financial services industry.
Mothahir Miah deliberately delayed booking and placing the trades of hedge-funds by several hours, in order to allocate those which had benefitted from favourable price movements to funds which paid higher performance fees, a practice known as 'cherry picking.’
Mark Steward, director of enforcement at the FCA said he failed to act with honesty and integrity: “Mr Miah abused the trust given to him by his clients in a very clear and deliberate way.
“We have taken into account that Mr Miah admitted his misconduct at a very early stage to both Aviva Investors and the FCA and showed remorse for his actions.”
The regulatory body said the culture in the Fixed Income business, which was heavily focused on performance and promotions, motivated Miah, who was vying to be promoted.
The FCA said because he expressed remorse it may lift Miah’s ban from performing any regulated activity after five years.
Had Miah not settled early on in the FCA’s investigation, his fine would have been £198,600.