Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Elite Hedge Funds Piling Up Shares Of These 3 Companies

Page 1 of 2

Only a handful of people may know this, but there is a mutual fund that invests based on the 13D filings submitted with the U.S Securities and Exchange Commission. The mutual fund has proven to be quite successful over the years, having delivered yearly returns that significantly outperformed the broader market. Therefore, the Insider Monkey team pays close attention to the 13D and 13G filings of elite hedge funds, which might reveal some great trading opportunities pinpointed by reputable and successful hedge fund managers. Hence, the following article will discuss three such filings recently submitted by hedge fund firms tracked by our team.

Peter Kolchinsky

Let’s first take a step back and analyze how tracking hedge funds can help an everyday investor. Through our research we discovered that a portfolio of the 15 most popular small-cap picks of hedge funds beat the S&P 500 Total Return Index by nearly a percentage point per month on average between 1999 and 2012. On the other hand the most popular large-cap picks of hedge funds underperformed the same index by seven basis points per month during the same period. This is likely a surprise to many investors, who think of small-caps as risky, unpredictable stocks and put more faith (and money) in large-cap stocks. In forward tests since August 2012 these top small-cap stocks beat the market by an impressive 53 percentage points, returning 102% (read the details here). Follow the smart money into only their best investment ideas all while avoiding their high fees.

In a freshly-filed 13G with the SEC, Peter Kolchinsky’s RA Capital Management disclosed an ownership stake of 2.69 million shares in Strongbridge Biopharma plc (NASDAQ:SBBP), which account for 12.7% of the company’s outstanding shares. The biopharmaceutical company went public on October 16 through its initial public offering of 2.5 million ordinary shares at a price of $10.00. Strongbridge Biopharma plc (NASDAQ:SBBP) primarily focuses on the development, in-licensing, acquisition and potential commercialization of multiple products that target rare diseases such as endogenous Cushing’s syndrome and acromegaly. The company’s lead product candidate, COR-003 (levoketoconazole), is a Phase 3 cortisol synthesis inhibitor for the treatment of endogenous Cushing’s syndrome, which is a rare endocrine disorder characterized by sustained elevated cortisol levels. The company’s management has outlined a franchise-based business model that aims expansion through an in-licensing and acquisition strategy. The shares of Strongbridge Biopharma plc (NASDAQ:SBBP) are currently trading 24% below their IPO price, most probably as a result of the diminishing attractiveness of the biotech sector of late.

Let’s move on to the next page of the article, where we discuss the other two filings submitted with the SEC.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!