“Rochdale Securities LLC, the 37-year- old brokerage that employs bank analyst Dick Bove, is seeking a capital injection after a trading error, said three people with knowledge of the firm’s situation,” Hugh Son, Saijel Kishan and Zeke Faux report for Bloomberg.
“Executives at Rochdale are telling employees and potential investors that a trader made an unauthorized purchase of Apple Inc. (AAPL) shares, which has eroded the capital of closely held Rochdale, said one of the people, who requested anonymity because the overtures have been private,” Son, Kishan and Faux report. “Rochdale bought more Apple shares than the brokerage’s management intended around the technology company’s Oct. 25 earnings report, two of the people said.”
Son, Kishan and Faux report, “Rochdale officials told employees that a rogue trader amassed the position, one of the people said.”
Read more in the full article here.
MacDailyNews Take: Nobody ever got fired for buying IBM.