SEB sees surge of hedge fund business

Fund Hedge London: With the collapse of Lehman, Morgan Stanley losing a third of its prime brokerage assets, and other prime brokers suffering losses, some are ripping the benefits.

Among them is SEB, which has seen a sudden surge of assets from hedge funds of late. Opalesque learned at yesterday’s SEB Enskilda Nordic Hedge Fund conference in London that a lot of them, who may have had just a small part of their business allocated to SEB (such as 5%), have increased their holdings by several folds. SEB’s exposure to the credit crisis has been minimal so far.

SEB's exposure towards Lehman Brothers
SEB's own total credit exposure towards the Lehman Brothers Group, which parent company today filed for bankruptcy protection, amounts to EUR 64 million (US$89m) at current foreign exchange and market levels. No part of the exposure is related to shares or subordinated debt issued by Lehman Brothers.

SEB is a North European financial group offering universal banking services in Sweden, Germany and the Baltic countries. It also has local presence in the other Nordic countries, Poland, Ukraine and Russia and a global presence in another ten countries. On 30 June 2008, the Group's total assets amounted to SEK 2,304bn (EUR 244 bn) while its AUM totalled SEK 1,295bn (EUR 137 bn)…

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SEB sees surge of hedge fund business



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