L'Autorité des marchés financiers (AMF) a infligé une fine by 200,000 euros to the management company Melanion Capital and 150,000 euros to Jad Comair, its president and founder. They also received a warning.

The management company Melanion Capital and its president and founder are blamed for breaches concerning human resources, shortcomings in risk management and failures in the fight against blanchiment and the financing of terrorism (LCB-FT). The authority's decisions follow a review by the AMF that began on 22 February 2021. At the time of the investigation, Melanion Capital managed three alternative investment funds (AIFs) under foreign law: the Melanion Arb Fund and Melanion Dividend Fund, composed of dividend derivatives, and the Melanion Volatility Fund,

Furthermore, the risk management of these funds has been called into question. The authority raises the “disorganized nature” of the management company on the subject. According to the AMF, it submitted documents that are neither dated nor validated; not allowing the AMF to know when they were effective. The authority also notes “contradictory information” between the said documents, one providing for the establishment of procedures, which another does not mention.

For its part, the company assures that it has “immediately taken corrective actions to resolve” the breaches. The period under review is from January 1, 2018 to June 21, 2021.