Editor’s Note: Related tickers: The Blackstone Group L.P. (NYSE:BX), BMC Software, Inc. (NASDAQ:BMC), Hess Corp. (NYSE:HES), Dell Inc. (NASDAQ:DELL), Mondelez International Inc (NASDAQ:MDLZ), PepsiCo, Inc. (NYSE:PEP), Kraft Foods Group Inc (NASDAQ:KRFT), Berkshire Hathaway Inc. (NYSE:BRK.A), Sony Corporation (ADR) (NYSE:SNE), Yahoo! Inc. (NASDAQ:YHOO), Dow Jones Industrial Average (INDEXDJX:.DJI)
Nelson Peltz’s Trian Makes Two New Bets (InstitutionalInvestorsAlpha)
Nelson Peltz’s Trian Fund Management has taken big, new positions in two snack food companies, Mondelez International Inc (NASDAQ:MDLZ) and PepsiCo, Inc. (NYSE:PEP), making them the firm’s two largest holdings in its $4.68 billion portfolio. Trian, known for taking concentrated positions in consumer-oriented companies, has disclosed it owns 40.3 million shares worth $1.2 billion in Mondelez International Inc (NASDAQ:MDLZ) in the first quarter. Mondelez International Inc (NASDAQ:MDLZ), formerly Kraft Foods Group Inc (NASDAQ:KRFT), was renamed after it spun off the North American grocery business, Kraft Foods Group Inc (NASDAQ:KRFT), on October 1, 2012. It’s worth noting that Warren Buffett’s Berkshire Hathaway Inc. (NYSE:BRK.A) moved the opposite way, reducing its stake in Mondelez International Inc (NASDAQ:MDLZ) in the first quarter to 7 million shares, from 12.8 million at the end of the December quarter.
Hedge fund: The bets we’ve got right and wrong in 2013 (WhatInvestment)
Boussard’s principal success since January has been to short Dutch technology group Royal Imtech N.V. (AMS:IM). ‘The stock was under increased scrutiny by investors following the publication of several research notes highlighting concerns about cash conversion,’ the hedge fund explained. ‘Lower cash conversions typically result in a much weaker balance sheet than shown by conventional credit ratios.’ Boussard therefore reckoned that Imtech N.V. (AMS:IM)’s new boss, Gerard van de Aast, would take action to recognise this financial stress after his appointment was confirmed in December.
Hedge fund that prompted BMC Software sale buys stake in NetApp (Information-Age)
Elliott Management, an activist investment firm that prompted BMC Software, Inc. (NASDAQ:BMC)‘s recent sale to private equity, has acquired a stake in enterprise storage vendor NetApp, according to a report by Bloomberg. The news agency claims the hedge fund is pushing the company to replace its board of directors. …Ealier this month, BMC Software, Inc. (NASDAQ:BMC) accepted a $6.9 billion offer to be acquired by a consortium of private equity firms. Last year, Elliott Management had acquired a 5% stake in the company, and wrote a letter to the board of directors calling for a sale.
Blackstone courts bold trades for new fund (FT)
The Blackstone Group L.P. (NYSE:BX) is preparing to launch a “super” hedge fund to cherry-pick the best trades from the hundreds of third-party hedge funds it invests with in return for paying them a commission. The new vehicle will invite managers with whom The Blackstone Group L.P. (NYSE:BX) already invests via its $48bn fund of funds platform to submit their boldest and most interesting trading ideas in return for a fee. It will be run by former Duquesne Capital partner, Greg Geiling.
Capricorn Strategies Trumps Other Hedge Funds to Win Investors Choice Award “Best Emerging CTA” (WatchListNews)
Capricorn strategies have once again been honored by its industry piers with yet another award for its Cayman Island based hedge fund. Winning Investors Choice Award for ‘Best Emerging CTA’ is just another notch on its award stick with the number of industry awards for Capricorn strategies now standing well above ten. Capricorn strategies relies by it team of professional which have been assembled from some of the finest trading institutions from across the globe to provide superior performance within today’s volatile markets.
What does activist investor Dan Loeb want with Hollywood? (Hint: could it be Yahoo?) (ChicagoTribune)
The news that activist shareholder Dan Loeb invited Sony Corporation (ADR) (NYSE:SNE) to spin off its entertainment property had the entertainment industry buzzing this week: Who is Dan Loeb and what does he want with Hollywood? …”Hollywood is a small piece of business,” said this individual, noting that Third Point owns about 5.3 percent of Yahoo! Inc. (NASDAQ:YHOO) and made its money this year trading Greek debt. “Dan hired Marissa Mayer to run Yahoo! Inc. (NASDAQ:YHOO). If he was trying to transform Yahoo! Inc. (NASDAQ:YHOO), having a traditional media company with a deep content library might be interesting to own.”
The ‘Smart Money’ Ain’t So Smart Anymore (WallStreetPit)
Not long ago it seemed that the “smart money” was invested in hedge funds which generated outsized returns for investors. When broad markets fell by 40% in the crash of 2008 and 2009, hedgies like John Paulson, who bet against mortgage-backed securities, made fortunes. In 2007, Paulson made $3.7 billion. In 2010, he made $5 billion. Now that the financial crisis has abated, such returns for Paulson and his fellow superstar hedgies appear to be a thing of the past. And, with the recent rash of insider trading prosecutions by the Feds against hedge fund managers, investors must seriously question the value of putting their money with these folks.