Stevin Hoover

From Wikipedia, the free encyclopedia

Stevin Ray Hoover
Born October 10, 1948 (1948-10-10) (age 59)
Franklin, Pennsylvania
Penalty 18 month federal prison sentence
Status Completed federal sentence and supervised release April, 2007
Spouse Twice Divorced
Children One daughter

Stevin Ray Hoover (born October 10, 1948) is a former investment manager whose once-unblemished reputation [1] as a registered investment advisor was tarnished by an investigation conducted by the United States Securities and Exchange Commission that led to an 18-month prison sentence in 2003.[2] In 1989, he founded Hoover Capital Management, Inc., a Boston-based investment management firm where he was CEO from 1989 to 2002.


Contents

[edit] Biography

[edit] Early years

Stevin Hoover was born in 1948 in Franklin, Pennsylvania, (population 7,300) located in Venango County[1] in northwestern Pennsylvania. He lived in Franklin until the age of 18, when he won a post-high-school-graduate scholarship to the Millard School, a military-academy preparatory school [2].

[edit] Education

Hoover graduated from Franklin Area High School in Franklin, Pennsylvania in June 1966. From September 1966 to June 1967, Hoover attended the Millard School in Bandon, Oregon, which prepared him for entering the United States Air Force Academy, where he was a cadet from 1967 to 1969. He attended the University of Texas at Austin, where he received his BA in 1972 with concentrations in the classics, philosophy and German[3]. Between 1973 and 1975, he studied German philosopher Immanuel Kant at the Universitaet Hamburg. He attended Boston University School of Management, where he received his MBA in 1990.

[edit] Career

Hoover practiced an investment approach best described as "concentrated value."[4][5][6][7][8][9][10]

Before launching Hoover Capital Management in 1989, Hoover spent four years as a stockbroker in Germany, where he was a registered representative in the Hamburg, Germany, office of United States stock brokerage company Bache & Co., known in Germany as Bache Halsey Stuart Shields Model & Roland GmbH, followed by 11 years in Bache's Boston office. Bache & Co was acquired by Prudential Financial in 1981 and became known as Prudential Bache Securities, Inc., later renamed simply Prudential Securities, Inc. In 2003, Prudential Securities, Inc., was acquired by Wachovia.

[edit] SEC Investigation and Criminal Matters

The Boston office of the Securities and Exchange Commission (SEC) began investigating Hoover in 1999. The SEC filed civil charges against HCM and Hoover on May 2, 2001.[11] On November 19, 2001, the SEC filed for a restraining order and asset freeze.[12] On April 24, 2002, the SEC added Chestnut Management LLC, manager of the Chestnut Fund LP, as a defendant and alleged additional charges.[13]

By July 2002, Hoover's reputation was irretrievably damaged by the SEC's litigation releases and pending criminal charges. Therefore, he accepted a plea bargain offered by the Boston U.S. Attorney's Office. As part of this arrangement, he entered a guilty plea on August 7, 2002, before Federal Judge Woodlock, Douglas Preston of the United States District Court for the District of Massachusetts to one count of violating Section 206 of the Investment Advisors Act of 1940. On October 31, 2002, he was sentenced to eighteen months in a federal minimum security prison-camp facility in Pensacola, Florida[3], plus three years of supervised release. In April 2007, Hoover completed both the federal prison sentence and the required supervised release[14]

Prior to his white collar crime conviction and permanent bar from the investment management business, Hoover had a 26-year history in the investment business devoid of any legal or regulatory taint.[15]


[edit] Current Activities (May 2008)

As of May 2008, Hoover resided in Ponte Vedra Beach [4], Florida, a small town located on the northeast Atlantic coast of Florida south of Jacksonville Beach. Ponte Vedra Beach is best known as being the location of the Players Golf Championship at Sawgrass [5], the annual U.S. golf tournament with the largest purse on the Professional Golfers Association tour. In October 2007 Hoover began regular postings to a blog in his name [6], and the blog was active as of May 2008.

[edit] References

  1. ^ Best of the Best by Peter Lynch WORTH Magazine March 1998 pp. 66-74
  2. ^ http://pacer.pcs.uscourts.gov/cgi-bin/range.pl
  3. ^ University of Texas at Austin transcripts (512) 475-7689
  4. ^ THE INVESTMENT PHILOSOPHY OF HOOVER CAPITAL MANAGEMENT, As Expressed In Stevin R. Hoover's MEMOS TO CLIENTS from May 1988 to January 1996
  5. ^ WORTH Magazine, March 1998; "Best of the Best" by Peter Lynch, pp. 66-74
  6. ^ Wall Street Journal, Wednesday, March 31, 1999. Heard In New England, "Buffett Dips Into MGI Again, But Now Some Pros Like His Idea."
  7. ^ WORTH Magazine, February 1999; "Peter Lynch & Company" by Peter Lynch, pp. 82-92.
  8. ^ WORTH Magazine, April 2000; "14 Hot Stocks From Peter Lynch and Friends" by Peter Lynch, pp.117-129.
  9. ^ Securities and Exchange Commission Form ADV, Hoover Capital Management, Inc
  10. ^ Company Updates, Hoover Capital Management Inc., February 1999, 67 pages.
  11. ^ lr16983
  12. ^ Stevin R. Hoover and Hoover Capital Management, Inc.: Lit. Rel. No. 17240 / November 19, 2001
  13. ^ Hoover and Hoover Capital Management, Inc.: Lit. Rel. No. 17487 / April 24, 2002
  14. ^ United States Probation Office release letter dated May 2, 2007, announcing termination of Hoover's supervised release as of April 21, 2007.
  15. ^ http://www.sec.gov/news/digest/08-08.txt


[edit] External links

v • d • e
Features of Venango County, Pennsylvania
People
Geography
History
Industry

Joy Mining Machinery | Pennzoil | Quaker State
Attractions