Hedge Fund Highlights: Carl Icahn, John Paulson, Goldman Sachs Group, Inc. (GS)

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Editor’s Note: Goldman Sachs Group, Inc. (NYSE:GS), Dell Inc. (NASDAQ:DELL), Microsoft Corporation (NASDAQ:MSFT), Newell Rubbermaid Inc. (NYSE:NWL), Alpine Total Dynamic Dividend Fund (NYSE:AOD), International Business Machines Corp. (NYSE:IBM), QUALCOMM, Inc. (NASDAQ:QCOM), Fortress Investment Group LLC (NYSE:FIG)

Icahn America’s Richest Hedge Fund Manager (FINalternatives)
He may have failed in his bid to block Dell Inc. (NASDAQ:DELL)’s management buyout, but the last 12 months have been very good to Carl Icahn, all the same. Icahn’s net worth soared nearly 40% to $20.3 billion, making him the richest alternative investments honcho in America, according to Forbes magazine. Icahn placed 18th on the annual Forbes 400 ranking of the richest Americans, topped once again by Microsoft Corporation (NASDAQ:MSFT) founder Bill Gates, who is worth $72 billion. Icahn displaced last year’s top hedge fund manager, George Soros, who fell to 19th place on the list with $20 billion—a mere $1 billion more than last year.


Paulson Leads Deal Magicians Amid Tight Spreads: Real M&A (Bloomberg)
Amid a bumpy recovery in mergers and acquisitions this year, a handful of hedge-fund managers are finding a way to make money betting on deals. John Paulson, Drew Figdor and Peter Schoenfeld are outperforming funds that seek to profit from corporate mergers — a strategy that has trailed broader hedge-fund returns since the financial crisis. Paulson & Co. posted an 11 percent gain in its merger fund this year through August. Figdor, who runs TIG Advisors LLC’s merger fund, returned 9.6 percent, and P. Schoenfeld Asset Management LP’s fund rose 8.8 percent through July, according to investors who asked not to be named.

Here’s What This $58 Billion Hedge Fund Company Is Buying (DailyFinance)
Every quarter, many money managers have to disclose what they’ve bought and sold via “13F” filings. Their latest moves can shine a bright light on smart stock picks. Today let’s look at Citadel Advisors, founded and run by Kenneth Griffin. It’s one of the biggest hedge fund companies around, with a reportable stock portfolio totaling $57.9 billion in value as of June 30, 2013. The biggest new holdings are Newell Rubbermaid Inc. (NYSE:NWL) and V.F. Other new holdings of interest include the Alpine Total Dynamic Dividend Fund (NYSE:AOD), a closed-end fund. It’s worth looking into it if you’re interested, as it contains roughly 90 companies, including well regarded ones such as International Business Machines Corp. (NYSE:IBM) and QUALCOMM, Inc. (NASDAQ:QCOM).

Novogratz to Burbank See Stocks Surviving First Fed Taper (Businessweek)
Hedge-fund managers from Stanley Druckenmiller to Fortress Investment Group LLC (NYSE:FIG)’s Michael Novogratz and Passport Capital LLC’s John Burbank said U.S. stocks would continue to do well this year even if the Federal Reserve gradually reduces its asset purchases, a move the central bankers resisted today. As long as the Fed prints money by buying assets, stocks won’t enter a bear market, Druckenmiller said. The exit of Lawrence Summers from the race to become Fed chairman has made it more likely that the central bank will continue policies that encourage investors to take risks such as buying equities, he said.

Goldman Launches Asia Hedge Fund (FINalternatives)
Goldman Sachs Group, Inc. (NYSE:GS)’s in-house hedge fund has unveiled a new Asia vehicle. Oryza Capital launched earlier this month, Bloomberg News reports. The new fund is led by Goldman Sachs Investment Partners’ Asia co-heads, Hideki Kinuhata and Ryan Thall. Oryza is an opportunistic long/short equity fund, which invests throughout Asia, including Australia and Japan. Kinuhata is based in Tokyo, while Thall works out of Hong Kong—where he’ll pitch the new fund to potential investors at a Morgan Stanley event next month.

The Fed is a highly leveraged hedge fund: Pro (CNBC.com)

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