December 16, 2017

Gun Control News Makes Hedge Funds Unload

Houston Gun Show

The nation no longer has to worry about guns. Following mass shootings last year, gun control dominated the news. Some managers must have felt the heat because they divested of investments in gun companies. The New York Times, known for their unbiased political stances, basically ran the headline, “Gun Control News Makes Hedge Funds Unload.” […]

What’s on Warren Buffett’s Reading List?

Warren Buffett has some reading homework for his fellow investors.

One might not think of Warren Buffett as the stereotypical hedge fund manager. But I’m going to start including him in my posts. Here’s why: Warren Buffet started investing his portfolio well before hedge funds became a household term. Warren Buffett amassed approximately a 24% annual return since 1964, probably beating out every hedge fund […]

Lasry Boldly Goes Where Few Men are Going: Europe

The Queen's Guard marching in England, a country with a safer risk profile for hedge funds like Avenue Capital

Distressed hedge fund manager, Marc Lasry, founder of Avenue Capital, is known for fishing in dangerous waters. Whether it’s debt of a company in bankruptcy or a falling country’s sovereign bonds, Lasry has made a fortune for his investors through his savvy investing. Described as “adventurous” by fellow financiers, Lasry boldly goes where few men […]

The Black Swan Swims with the Fishes

The Godfather

When one of the most successful hedge fund managers blows up, the investment world takes notice. Victor Niederhoffer is one of the legends of Wall Street but had two funds completely collapse. Even today, with the recent $2 billion loss by J.P. Morgan, the focus is on risk management. That’s where Nassim Taleb comes in. […]

Baupost Group Founder Between a Rock and Hard Place

A proposed limestone quarry in Ontario, like this one in Virginia, puts the Baupost Group founder between a rock and a hard place with local residents.

Seth Klarman runs the 11th-largest hedge fund with $24 billion under management. He’s not being conservative with that tidy sum under his care. Klarman wants to transform 2,300 acres of Canadian farmland into a limestone mine writes Scott Cendrowski in Fortune. The people of Melancthon, Ontario, however, raise environmental, health, and aesthetic concerns. They say […]

Greenlight Capital’s David Einhorn Plays Europe’s Game

David Einhorn, an avid poker player, plays Europe's game in changing his sovereign debt strategy

David Einhorn, the manager of the hedge fund Greenlight Capital, and an avid poker player, has wagered a safer bet on sovereign debt. European governments have rewritten the rules so that even if countries like Greece or Italy default on their debt, they won’t really default. That means that credit default swaps, which make money […]

Gold is Hardly a Hedge for Paulson

Even with its continued rise in price, gold is hardly a hedge for Paulson

John Paulson’s hedge fund, Paulson & Co., is winding up a dreadful year. Its largest funds, Advantage Plus and Advantage, with a combined $11 billion in assets, fell 46 and 32% percent, respectively. A significant percentage of these funds were invested in gold and gold-related bets. But gold is hardly a hedge for Paulson, which […]

Education May Be a Worse Bet Than You Thought

Harvard Law School

Hedge fund managers are known as overseers of investors’ alternative investments. One unusual area where some hedge funds are exploring is student loans. There has been debate in the past few years over whether the cost and benefit received from higher education is worth it. And from a report by Matt Wirz in The Wall […]

Convicted Hedge Fund Manager of Galleon Group Sounds Off

Sri Lanka, home of the Colombo World Trade Center, and former hedge fund manager Raj Rajaratnam's origins

The convicted hedge fund manager of Galleon Group sounds off on his insider trading charges, his background, and indiscretions during his arrest. Raj Rajaratnam, the central character in the largest insider trading case, was extremely successful in his career as the hedge fund manager of one of the most-respected funds on Wall Street, becoming a […]

SAC Capital Insider Trading Rumors Sticking Around

SAC Capital Insider Trading Rumors are Sticking Around

SAC Capital insider trading rumors sticking around, write Jenny Strasburg and Jean Eaglesham in The Wall Street Journal. The hedge fund has been subpoenaed regarding insider trading of former employees and connections over the past year. Wall Street regulators expressed mounting concern about SAC Capital Advisors’ trading over a nine-year period, detailing in dozens of […]