Lone Pine Assets Shrivel as Hedge Fund Reels From Record Losses (Bloomberg)
Lone Pine Capital is facing its biggest challenge since Steve Mandel founded the firm a quarter-century ago, with its $5.8 billion hedge fund down the most in its history. The hedge and long-only funds are both mired in a prolonged slump, each losing more than 30% this year through July on bullish growth-stock wagers that soured. Assets have tumbled 42% to $16.7 billion, driven by the wrong-way bets and client redemptions.
Listed North American Asset Managers’ AUM, Revenues Decline Steeply in Q2 (Opalesque)
Listed North American asset management firms experienced steep declines in assets under management (AUM) and revenue during the second quarter of 2022 after seeing all-time highs in assets, revenues, and profit levels just two quarters earlier. According to a report by Casey Quirk, a Deloitte business, 18 public traditional and alternative asset managers in North America saw their combined AUM drop by 12% in the second quarter, while revenues fell by 8%. The 18 managers had a combined AUM of $17 trillion as of June 30, it said. Though AUM declines predominantly came from the market downturn, asset flows in the quarter for most firms were either flat or slightly negative.
Man Who Paid Himself $3.9 Billion To Run Hedge Fund Thinks Guy Running Hedge Fund Is Overpaid (Deal Breaker)
Once upon a time, there was a hedge-fund whose hand-picked board of directors paid him lavishly in spite of piss-poor returns, a swooning stock price, and spectacular failures in corporate governance up to and including a succession plan that failed to consider other candidates. That’s not our precis on Daniel Och’s tenure at his formerly eponymous hedge fund. Instead, it’s Och’s breathtakingly un-self-aware summary of that firm’s current CEO and his stewardship of the hastily-renamed Sculptor Capital Management.
Fund Manager Warns of a ‘Very, Very Risky Environment,’ Says the Goal is Capital Preservation (CNBC)
Eric Lonergan, fund manager at M&G Investments, says the goal is capital preservation because we’re in a “very, very risky environment.”
Friday 8/26 Insider Buying Report: VPG, OPRX (Nasdaq.com)
On Wednesday, Vishay Precision Group (VPG)’s Director, Wes Cummins, made a $566,016 buy of VPG, purchasing 16,300 shares at a cost of $34.72 each. Cummins was up about 3.7% on the purchase at the high point of today’s trading session, with VPG trading as high as $36.00 at last check today. Vishay Precision Group is trading off about 0.5% on the day Friday. Before this latest buy, Cummins purchased VPG on 4 other occasions during the past year, for a total cost of $1.95M at an average of $32.47 per share. And on Monday, CEO William J. Febbo purchased $251,005 worth of OptimizeRx Corp (OPRX), purchasing 16,100 shares at a cost of $15.59 a piece. OptimizeRx Corp is trading down about 1.4% on the day Friday. Febbo was up about 6.2% on the purchase at the high point of today’s trading session, with OPRX trading as high as $16.56 at last check today.
Over $17 Million Bet On This Electric Vehicle Stock? 4 Stocks Insiders Are Buying (Benzinga)
Nikola: The Trade: Nikola Corporation (NKLA) 10% owner M&M Residual, LLC acquired a total of 3,000,000 shares at an average price of $5.80. To acquire these shares, it cost around $17.4 million. HighPeak Energy: The Trade: HighPeak Energy, Inc. (HPK) 10% owner John Paul Dejoria bought a total 2,313,744 shares at an average price of $21.61. The insider spent around $50 million to buy those shares.
