Bruno Crastes Goes From H2O’s Investing Hero to a Man in Limbo

Bruno Crastes was the face of H2O Asset Management LLP and revered by investors for his ability to make them richer. Now, he’s been handed a ban from managing funds by the French regulator and has stepped down from running his firm.

The fall from grace comes after the enforcement committee of France’s Autorité des Marchés Financiers issued on Tuesday a finding against him, co-founder Vincent Chailley and the firm for selecting investments in unauthorized illiquid securities.

H2O was fined a record €75 million($78.7 million) penalty and Chailley €3 million. Crastes, 57, got the largest possible penalty for a ...