Hedge Fund News: Steven A. Cohen, William Ackman, Telus Corporation (TU)

Page 1 of 3

SAC pulls plug on Chi. shop (NYpost)
Hedge fund SAC Capital said yesterday it is closing down its Chicago office and laying off staff from the four portfolio teams that work there. The Stamford, Conn.-based firm has $14 billion in assets with offices worldwide, including in New York, Hong Kong, London and Boston. The government told SAC and its founder Steven A. Cohen late last year that it may bring civil fraud charges in relation to a case in which a former SAC fund manager has been charged with having traded in pharmaceutical companies Elan and Wyeth, now owned by Pfizer Inc. (NYSE:PFE), with illegally obtained information about drug-trial results.

SAC CAPITAL ADVISORSAhead of the Bell: Herbalife (BusinessWeek)
The battle between Herbalife Ltd. (NYSE:HLF) and hedge fund manager William Ackman over the company’s business practices is likely to continue for a while, with ongoing stock volatility, an analyst said Friday. On Thursday Herbalife Ltd., which uses a network of distributors to sell its offers nutrition and weight loss products, fought back against Ackman’s claims that the business amounts to a pyramid scheme. A series of Herbalife’s executives attempted to refute Ackman’s allegations during an analyst and investor meeting, laying out everything from how the business operates to who its customers are.

Lyxor Hedge Fund Index up 1.1% in December (+3.1% in 2012) (Opalesque)
The Lyxor Hedge Fund Index was up +3.1% in 2012 (+1.1% in December). Twelve Lyxor Strategy Indices out of 14 ended the month in positive territory, led by the Merger Arbitrage Index (+3%) and the Long/Short Credit Arbitrage Index (+2.6%). Over the year, eleven Lyxor Strategy Indices out of 14 posted positive performances, three of them being up double digits: Long/Short Credit Arbitrage Index (+12.1%), Long/Short Equity Long Bias (+11.2%) and Fixed Income Arbitrage (+10.5%). Hedge funds benefited from comforting macro news flow and the Lyxor Hedge Fund index gained 1.1% over December, bringing year-to-date performance to 3.1%. The headline numbers hide an even more positive picture. A growing number of funds have participated in rising markets and 20% of the funds in the Lyxor investment universe are up double digits in 2012.

WOMEN HEDGE FUND MANAGERS BEAT INDUSTRY (Advisor)
Women hedge fund managers beat the industry through the third quarter of 2012, according to the Rothstein Kass Institute’s second annual Women in Alternative Investments survey. “The Rothstein Kass Women in Alternative Investments Hedge Index produced a year-to-date net return of 8.95%, in comparison to the HFRX Global Hedge Fund Index, which generated a 2.69% net return through September,” the report explains.

New York-based hedge fund manager and firm fined USD5m (HedgeWeek)
The Securities and Exchange Commission has secured final judgments against hedge fund manager Chetan Kapur and his firm, ThinkStrategy Capital Management, ordering them to jointly and severally pay disgorgement and prejudgment interest of USD3,988,196.59 and civil penalties in the amount of USD1m. The final judgments stem from a civil injunctive action filed by the Commission on 10 November 2011. The SEC’s complaint alleged that over nearly seven years, Kapur and ThinkStrategy engaged in a pattern of deceptive conduct designed to bolster their track record, size, and credentials.

Clive Hedge Fund Assets Said to Fall by $1.7 Billion After Loss (SFGate)
Clive Capital LLP’s assets plunged 46 percent in 2012 after the commodity hedge fund lost money for a second year running and investors withdrew their cash, said two people with knowledge of the matter. Clive ended the year managing $1.95 billion, down from $3.6 billion at the end of 2011, said the people, who declined to be identified because the London-based hedge fund is private. The fund declined 8.8 percent in 2012 after falling 11 percent a year earlier, causing some clients to lose patience with its investment performance, the people said.

Active management’s slow bleed (IFRAsia)
Punished by another year of bad performance from active investment managers, there is some encouraging evidence that investors are finally wising up. …And don’t kid yourself that only “dumb” retail money goes into mutual funds, and the big boys and girls find their alpha in hedge funds. As of the last week in December, 88% of hedge funds were lagging the S&P 500. The average hedge fund logged a return for the year of just 3.5%, according to the HFRX Global Hedge Fund Index, a good sight better than their nearly 9% loss in 2011 but hardly the kind of reward you want for paying the standard hedge fund charge of 2% in fees and 20% of the profits.

Page 1 of 3

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
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

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors 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 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!