Investec Asset Management, which runs over $4bn in active currency funds, believes sterling is the cheapest of all major global currencies.

Speculators increased bets against sterling to record levels even after the formation of the new coalition government, as worries escalated over the health of UK finances.

The chief executive of M&G has decided not to buy his full allocation of shares in Prudential as part of its proposed takeover of Asian insurer AIA.

Legg Mason Capital Management has unveiled the eventual successor to renowned fund manager Bill Miller.

Updated 1.40pm: The FTSE recovered slightly after plunging at midday on news of the coalition government's £6.2bn spending cuts.

Investor money in poorly performing funds had doubled to £14.25bn over the past year, with Invesco Perpetual managing the most ‘dog' assets under management, Bestinvest reveals.

A number of hedge funds that made millions from the implosion of America's subprime market are betting on a similarly dramatic collapse of the euro.

The US Treasury has secretly resurrected plans to float Asian insurer AIA on fears the £24bn sale to Prudential could fall apart.

Stephen Lansdown, the Hargreaves Lansdown co-founder and one of the UK's richest individuals, has left Britain for Guernsey.

The economic monopoly enjoyed for so long by the US is set to come to an end, with Bric countries moving in to replace it, Robin Geffen says.