Zamansky & Associates LLC Updates Its Investigation of the Paulson "Feeder" Funds for Potential Additional Losses Suffered from Investments in Gold

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Zamansky & Associates LLC announces that it is expanding its investigation of Paulson “feeder” funds in response to reports that additional losses were suffered from investments in gold. The Paulson “feeder” funds are private equity or hedge funds sold by major brokerage firms such as Morgan Stanley, Citigroup, UBS Financial and Merrill Lynch which invested in Paulson & Co.’s Advantage and Advantage Plus hedge funds.

Zamansky & Associates LLC announces that it is expanding its investigation of Paulson “feeder” funds in response to reports that additional losses were suffered from investments in gold. The Paulson “feeder” funds are private equity or hedge funds sold by major brokerage firms such as Morgan Stanley, Citigroup, UBS Financial and Merrill Lynch which invested in Paulson & Co.’s (“Paulson”) Advantage and Advantage Plus hedge funds (the “Funds”). According to SEC filings, available at http://www.sec.gov., the feeder funds reflect have names such as UBS Paulson Advantage Fund, LionHedge Paulson, Paulson Advantage Access Fund, Morgan Stanley HedgePremier Paulson, and CAIS Paulson.

On May 7, 2013, Reuters reported that John Paulson’s $700 million gold fund suffered a 27% loss in April, and was down 47% for the year. According to Reuters, the fund's losses were magnified by the fact that its bullish bet on gold was enhanced with leverage, or borrowed money, and derivatives tied to the price of gold.

Previously, on March 9, 2013, Zamansky had announced an investigation into the Paulson Feeder funds on behalf of investors who purchased through Morgan Stanley, UBS Financial, Merrill Lynch and Citigroup.

According to Zamansky, these funds are only appropriate for risk-taking investors who are sophisticated and wealthy enough to appreciate and bear the risks. “The Paulson feeder funds are not suitable or appropriate for conservative or even moderate investors,” Zamansky states. "If you were an investor in the UBS Paulson Advantage Fund, LionHedge Paulson, Paulson Advantage Access Fund, Morgan Stanley HedgePremier Paulson, or CAIS Paulson, you may wish to have your investment reviewed for whether it was appropriate for you."

What Fund Investors Can Do

If you would like to discuss your legal rights and how you might recover your potential losses from the Paulson or feeder funds, you may, without obligation or cost to you, email jake(at)zamansky(dot)com or call the law firm at (212) 742-1414.

About Zamansky & Associates, LLC

Zamansky & Associates LLC is one of the leading law firms specializing in securities fraud and financial services arbitration and class action litigation. We represent both individual and institutional investors. Our practice is nationally recognized for our ability to aggressively prosecute cases and recover losses.

To learn more about Zamansky, please visit our website, http://www.zamansky.com.

Contacts

Zamansky & Associates, LLC
50 Broadway - 32nd Floor
New York, NY 10004
Jake Zamansky, 212-742-1414
jake(at)zamansky(dot)com

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Jacob Zamansky
Zamansky & Associates LLC
212 742-1414
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