Bermuda Fund and Manager Wound Down in Good Order; Bermuda Monetary Authority Matter Closed

The Bermuda Monetary Authority discontinued its proceeding concerning Hamilton Bay Capital Limited and HBC Management Limited after confirming that all balances were settled, all shares redeemed and all investor proceeds returned.

Hamilton, Bermuda — From March 2019 to December 2020, Eric Schreiber registered an investment manager and a fund with the Bermuda Monetary Authority (BMA). The manager, HBC Management Limited, and the fund, Hamilton Bay Capital Limited, were established to facilitate investments by offshore investors, primarily in Europe and Asia.

After eighteen months, Mr. Schreiber determined that the administrative and operational expenses were too high, and he decided to wind down both the manager and the fund. The fund had a single outside investor in addition to Mr. Schreiber's own account. That investor received back the full amount of his principal together with a return of +8.21%, and confirmed receipt in writing. Click here for the Investor Confirmation.

The BMA Notice and Its Resolution

Two years after Mr. Schreiber shut down the fund, the BMA issued a warning notice regarding certain alleged compliance violations under Bermuda law. Click here for the Warning Notice. Upon receipt of the notice, Mr. Schreiber immediately addressed the BMA concerns in full and in detail. On 22 February 2023, the BMA issued a Notice of Discontinuance concerning the alleged violations. Click here for the Notice of Discontinuance. The BMA stated that the manager had been "cooperative and timely" in addressing these concerns. The BMA concerns were addressed on amicable terms.

This Bermuda circumstance only involved the Equity Overlay Strategy; the Pattern Recognition Breakout Strategy has always resided in the USA.

Inquiries

Any questions concerning this matter may be directed to Susan Davis-Crockwell at the BMA or Eric Schreiber directly.