Is Vector Group Ltd (VGR) Going to Burn These Hedge Funds?

Page 1 of 2

In the eyes of many market players, hedge funds are assumed to be bloated, old financial vehicles of an era lost to time. Although there are more than 8,000 hedge funds with their doors open today, Insider Monkey focuses on the top tier of this group, about 525 funds. It is widely held that this group oversees the majority of all hedge funds’ total assets, and by tracking their highest performing investments, we’ve discovered a number of investment strategies that have historically beaten Mr. Market. Our small-cap hedge fund strategy outperformed the S&P 500 index by 18 percentage points a year for a decade in our back tests, and since we’ve began to sharing our picks with our subscribers at the end of August 2012, we have topped the S&P 500 index by 33 percentage points in 11 months (find a sample of our picks).

Vector Group Ltd (NYSE:VGR)

Equally as crucial, bullish insider trading sentiment is another way to look at the investments you’re interested in. Obviously, there are many reasons for a corporate insider to sell shares of his or her company, but only one, very clear reason why they would buy. Several empirical studies have demonstrated the impressive potential of this method if investors understand what to do (learn more here).

What’s more, we’re going to discuss the latest info surrounding Vector Group Ltd (NYSE:VGR).

How have hedgies been trading Vector Group Ltd (NYSE:VGR)?

In preparation for the third quarter, a total of 10 of the hedge funds we track held long positions in this stock, a change of 25% from the first quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were increasing their holdings significantly.

According to our 13F database, Renaissance Technologies, managed by Jim Simons, holds the biggest position in Vector Group Ltd (NYSE:VGR). Renaissance Technologies has a $64.9 million position in the stock, comprising 0.2% of its 13F portfolio. On Renaissance Technologies’s heels is Citadel Investment Group, managed by Ken Griffin, which held a $7.7 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Other hedgies that are bullish include Joel Greenblatt’s Gotham Asset Management, John Overdeck and David Siegel’s Two Sigma Advisors and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.

As aggregate interest spiked, certain money managers were leading the bulls’ herd. PEAK6 Capital Management, managed by Matthew Hulsizer, initiated the most valuable position in Vector Group Ltd (NYSE:VGR). PEAK6 Capital Management had 944.5 million invested in the company at the end of the quarter. Jim Simons’s Renaissance Technologies also initiated a $64.9 million position during the quarter. The other funds with new positions in the stock are John Osterweis’s Osterweis Capital Management, Ken Griffin’s Citadel Investment Group, and Cliff Asness’s AQR Capital Management.

How have insiders been trading Vector Group Ltd (NYSE:VGR)?

Legal insider trading, particularly when it’s bullish, is particularly usable when the company in focus has seen transactions within the past half-year. Over the latest half-year time period, Vector Group Ltd (NYSE:VGR) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).

We’ll also examine the relationship between both of these indicators in other stocks similar to Vector Group Ltd (NYSE:VGR). These stocks are Philip Morris International Inc. (NYSE:PM), British American Tobacco PLC (ADR) (NYSEAMEX:BTI), Altria Group Inc (NYSE:MO), Reynolds American, Inc. (NYSE:RAI), and Lorillard Inc. (NYSE:LO). This group of stocks are the members of the cigarettes industry and their market caps are closest to VGR’s market cap.

Page 1 of 2
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

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

The 10 Cheapest Places to Retire Abroad

Top 10 Most Expensive Luxury Cars in the World – 2014

Killer Small Business Ideas

The 50 Best Personal Finance Blogs

Most Expensive Apartments in New York City

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!