Hedge Fund’s Red Hot Vaping Bet Runs Into Trump’s Surprise Ban (Bloomberg)
Jason Mudrick has been enjoying a run this year that most other hedge fund managers only dream of. His flagship fund at Mudrick Capital Management is up 32% on soaring valuations for one of the largest players in the U.S. vaping market. Now, that same bet could pose a headache for the maverick investor.
Thomas Cook Crisis: Hedge Funds Made Record Profits on Company’s Collapse as Firm Folded (Express.co.uk)
The hedge fund operators purchased credit default swaps and these investments would have been worthless if CEO of Thomas Cook, Peter Fankhauser, had managed to clinch a deal at the weekend. But as a result of the collapse CDS payouts are now expected to reach $250m (£201m), according to reports by Bloomberg. Nearly 11 percent of the travel company’s shares were shorted ahead of its collapse. Two hedge funds, London-based TT International and Whitebox Advisers, from Minneapolis – made up the bulk of the shorts, together holding around 7 percent, according to ShortTracker data.
Solar Carve Tower Signs Hedge Fund to Take Over 7th Floor (New York Post)
The stunning Solar Carve Tower, which sits along the High Line and overlooks the Hudson River, is getting a new tenant. Health care-focused hedge fund RTW Investments, which is currently located at the nearby 412 W. 15th St., is jumping to 40 10th Ave. to accommodate its expansion. The firm, which invests in biopharma companies, will take over the entire seventh floor, or 14,082 square feet, of the brand-new building, known as the Solar Carve Tower for its unique Studio Gang design.
Crystal Capital Partners’ Latest PE & Hedge Fund Portfolio Construction Technology Provides Advisors With a Streamlined, E-Commerce Shopping Experience (PRNewswire.com)
MIAMI, Sept. 24, 2019 /PRNewswire/ — Crystal Capital Partners, a pioneer in the alternative investment platform space, has rolled out a new proprietary e-commerce portfolio construction technology that makes building institutional private equity and hedge fund portfolios as simple as adding items to an online shopping cart. With this cutting-edge automation, advisors can select from a diverse list of rigorously vetted institutional private equity and hedge fund exposures across various strategies, add them to their cart and, within seconds, generate an institutional-quality portfolio proposal for client presentations.
Saudi Oil Attacks Leave Hedge Funds Unmoved Despite Battle of the Bots: Kemp (HellenicShippingNews.com)
Hedge fund managers remain cautious about the outlook for oil prices despite a short-term surge following the recent attacks on Saudi Arabia’s oil installations. Amid record trading volumes, oil prices posted a record one-day rise on Sept. 16, the first trading day after the attacks. However, most of this was probably attributable to short-term computerised market-making programmes (“bots”) taking intra-day positions rather than fund managers shifting their strategic view.
China Approves Two Sigma as a Private Fund Manager (Opalesque.com)
Two Sigma China, the wholly-foreign owned enterprise (WFOE) of Two Sigma, recently received private fund management (PFM) license, said the Asset Management Association of China (AMAC). The New York-based hedge fund now has six months to launch an onshore product in China. “The PFM registration enables the company to develop and market onshore investment products for qualified investors in China,” said the hedge fund. Two Sigma, New York, incorporated Shanghai-based Two Sigma China as a wholly foreign-owned enterprise in November 2018, prior to seeking registration with AMAC. “We endeavor to be a valuable investment partner for Chinese clients and support China opening up its financial markets to the world,” said Carissa Xu, managing director, and general manager at Two Sigma China.
CTA/Managed Futures Hedge Funds Rebound in August with Strong Performance Driven Gains (HedgeWeek)
Hedge fund managers ended August 2019 down 0.35 per cent on an equal-weighted basis, and 0.54 per cent on an asset-weighted basis, according to data released by Eurekhedge. The risk-off sentiment persisted throughout the month, as the US labelled China a currency manipulator, intensifying the tension between the two economies. CTA/managed futures hedge funds were up 1.89 per cent in August with managers citing long exposure to metals and fixed income, as well as short exposure to the energy sector as performance drivers. The mandate’s AUM has grown by USD18.6 billion year-to-date, in contrast to the USD45.5 billion decline recorded over 2018.