Hedge Fund News: David Harding, Dan Loeb & Bill Ackman’s Smarter Bet

Page 1 of 2

Winton’s Profit Fell 64% in 2012 After Losses at Biggest Fund (BusinessWeek)
Winton Capital Management Ltd., the $24.5 billion hedge-fund firm founded by David Harding, said profit plunged 64 percent last year after its main fund posted just its second annual decline since starting in 1997. Earnings after taxes fell to 58.6 million pounds ($95.1 million) in 2012, compared with 162 million pounds in 2011, London-based Winton said in a U.K. Companies House filing published today. Winton, which earns its most lucrative fees from investment gains made at the firm’s hedge funds, said revenue declined 45 percent to 193 million pounds.

David Harding

Investors turn their backs on “robot” hedge funds (Reuters)
Investors in the $330 billion computer-driven hedge fund sector are pulling out money for the first time since 2008, data showed on Wednesday, signalling the possible start of a bigger exit from the industry. These so-called CTAs (commodity trading advisors), which employ mathematicians and physicists to build programmes betting on market trends, have been in demand since they racked up large profits during the credit crisis.

Ackman Still Short Herbalife (HLF), But Now Has Different Approach (StreetInsider)
Bill Ackman is making a smarter bet on Herbalife Ltd. (NYSE:HLF). According to a third-quarter 2013 performance letter issued by hedge fund Pershing Square, Ackman has converted about 40 percent of his short on Herbalife into long-term put options. On the position, Ackman commented, The restructuring of the position preserves our opportunity for profit – if the Company fails within a reasonable time frame we will make a similar amount of profit as if we had maintained the entire initial short position – while mitigating the risk of further substantial mark-to-market losses – because our exposure on the put options is limited to the total premium paid.

Highfields Capital joins hedge fund chorus seeking to slim down (BizJournals)
Count Highfields Capital of Boston among the growing list of hedge funds returning money to clients. According to Reuters.com, which reviewed a letter sent by the local money manager to its investors, Highfields plans to return as much as $2 billion of its $13 billion under management due to an overall lack in attractive investment opportunities. “While we are quite comfortable with our ability to generate good returns at our current size, we would rather be slightly smaller and generate better ones,” wrote Highfields co-founder Jonathan Jacobson, according to the Reuters report.

Billionaire Dan Loeb Blasts Sotheby’s CEO For Spending ‘Hundreds Of Thousands’ On Luxury Lunches (Forbes)
Billionaire hedge fund manager Dan Loeb doesn’t care that Sothebys (NYSE:BID) recently replaced its CFO for a former Goldman Sachs Group, Inc. (NYSE:GS) partner and managing director, and that the auction house is reviewing its books to increase shareholder value. On Wednesday, the head of Third Point sent a scathing letter to management, announcing he had become the company’s largest shareholder and is calling for William Ruprecht, chairman, president and CEO of Sotheby’s, to step down given his lack of leadership, excessive pay and perks, and how rival Christie’s has eaten their lunch since the financial crisis;

Chief operating officer of $780 mln Segantii hedge fund leaving (Reuters)
Segantii Capital’s Chief Operating Officer Nigel Hellewell is leaving the company a year after joining one of the most successful home-grown hedge funds in Asia. Hellewell joined Segantii from London-based BlueCrest Capital Management last year. Segantii CEO Kurt Ersoy confirmed Hellewell was leaving but did not give any details about his departure. Segantii’s fund, launched in 2007 by the former head of Asian equity trading for HSBC Securities Simon Sadler, managed $780 million at the end of August and is up about 4 percent this year, according to data seen by Reuters.

Keiser on shutdown: America one giant hedge fund & world’s greatest soap opera (YouTube)

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

Rito Pls Buff: The 10 Least Played Champions in LoL Season 4

10 Covers of Popular Songs that are Better than the Originals

Must See TV: The 9 Most Anticipated Shows of 2015

The 15 Biggest Box Office Bombs of All Time

10 Things The World Can’t Stand About Americans

Picture Perfect: The 6 Smartphones with the Best Cameras

The 10 Best Countries To Work In the World

A Profitable Day At The Track: 5 Tips For Betting On Horses

Tearing You Apart: 6 Bad Habits That Ruin Relationships

Learning on the Job: The 6 Biggest Mistakes Parents Make

Shopaholics Rejoice: The 12 Biggest Malls in the World

Fright Night: 10 Horror Movies Based on True Stories

Mach Mania: The 10 Fastest Jets in the World

Military Heavyweights: The 10 Countries with the Most Tanks

All In: The 7 Richest Poker Players in the World

Abracadabra: The 10 Best Magicians in the World

The 10 Richest Asian Countries in the World in 2014

Eyes in the Sky: 10 Things You Need to Know About Drones

Rising Stars: The 6 Best Silicon Valley Startups

Military Muscle: The 5 Most Advanced Armies in South America

All that Glitters: The 7 Most Luxurious Jewelry Brands in the World

5 Things You Didn’t Know About ISIS but Should

Empowering Your Money: The 5 Best Energy Stocks to Invest In

The 11 Best Android Apps You Can’t Get on iOS

The 10 Most Important International Conflicts in 2014

Mood Enhancers: The 20 Most Uplifting Songs of all Time

Lover Beware: The 8 Countries that Cheat the Most

Breath of Fresh Air: The 25 Countries with the Best Air Quality on the Planet

Singles Beware: The 8 Worst Mistakes Made on First Dates

Healthy and Happy: The 10 Countries with Lowest Healthcare Costs

The 6 Best Company Team Building Activities to Build Workplace Camaraderie

Ships Ahoy: The 10 Busiest Shipping Ports in the World

10 Productivity Tips to Save You Time and Help You Do More With Less

Grab a Bite: The Most Popular Fast Food Restaurants in America

Friday Night Thirst: The 10 Most Popular Cocktails in the World

The 6 Greatest Unsolved Mysteries We May Never Figure Out

7 Useless Products You Never Should’ve Bought

The 5 Reasons Why You’re Single and Miserable

The 7 Most Addictive Foods in the World We Can’t Stop Eating (Even Though We Should)

5 Amazing Places You Can Swim with Dolphins

The Top 7 Most Livable Countries In The World

The 10 Most Expensive Baseball Cards Ever Pulled From A Pack

The 5 Easiest Second Languages to Learn for English Speakers

Silver Spoon: The 6 Richest Families in the World

The 20 Countries with the Largest Prison Populations in the World

The Top 10 Richest Actors in the World

The 10 Best Airline Stocks to Invest In Before They Fly Too High

Burger Kings: The 10 Most Expensive Burgers in the World

The 10 Most Ethnically Diverse Countries in the World

The 10 Most Exclusive Credit Cards in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!