Hedge Fund News: Ray Dalio, George Soros & Tiger Management

Hedge Fund Founder Says The Arrest Of Systema Boss Is A Warning From Putin (HedgeCo)
Hedge fund founder and critic of corruption in Russia, Bill Browder, has a lot to say about the arrest of one of Russia’s richest men, Vladimir Yevtushenkov, The Guardian reports. “I don’t know if Yevtushenkov did anything more or less irritating to Putin than the other oligarchs. I just think [Putin] randomly picked one out to make sure none of the other oligarchs are going to start challenging him or start planning any palace coups.” The Guardian said. “Now that their wealth has been diminished by Putin’s actions, they have a big incentive to act against Putin and he knows that.”

Argentina appeals to a higher authority (FT)
Argentina’s battle with holdout creditors is taking on ever-broader dimensions as Cristina Fernández, the president, appeals for support from the UN this week after meeting with billionaire George Soros and also Pope Francis. In New York, Ms Fernández hopes to recruit George Soros in her fight against the holdouts. His Quantum hedge fund holds a 3.5 per cent, or $450m stake, in YPF, the national oil company that would benefit from renewed access to international credit. She also hopes to build on a rhetorical victory won this month when the UN agreed on a non-binding vote to launch a multilateral framework for sovereign debt restructurings.

Agecroft Partners Predicts 5 Top Outcomes of CalPERS divesting of Hedge Funds (HedgeCo)
CalPERS’ announcement to divest of hedge funds has created a significant buzz in the media with many people wondering what impact this will have on the hedge fund and pension fund industries going forward. Donald A. Steinbrugge, CFA and Managing Partner at Agecroft Partners, believes we will see the following 5 outcomes: Continued pressure on hedge fund fees for large mandates Although the media often comments that hedge fund fees are 2 and 20, the reality is that most large public pension funds on average pay significantly less than this for large investment amounts.

Hedge Fund Icon Julian Robertson: Bond Bubble Will Burst (Barrons)
Is there a bubble in bonds? In remarks at the Bloomberg Markets Most Influential Summit in New York, Julian Robertson, the founder of Tiger Management LLC, said there is a bond bubble that will “end in a very bad way.” According to Bloomberg, the hedge fund icon said, “Bonds are at ridiculous levels. It’s a worldwide phenomenon that governments are buying bonds to keep their countries moving along economically.” Not everyone agreed, according to reports. Joining Robertson on stage, Carlyle Group LP co-founder William Conway said he didn’t see a catalyst that would cause the bond market to collapse.

You Too Can Clone Bill Ackman Without Buying His New Fund (Bloomberg)
Billionaire activist Bill Ackman’s three-year pursuit of a European initial public offering may appeal to institutions seeking greater liquidity and affluent individuals shut out of many U.S. hedge funds. Yet as even Ackman has suggested, investors might do better replicating him on their own. Pershing Square Holdings Ltd. (PSH), one of the funds managed by Ackman’s Pershing Square Capital Management LP, seeks to raise about $2 billion in an IPO in October on the Euronext Amsterdam. Ackman wants the listed fund to provide a pool of permanent capital as a buffer against the risk of investor withdrawals that loom over private funds.

Recommended Reading:

Bronson Point Partners 2014 Q2 Investor Letter and Returns

Arrowgrass Capital 2014 Q2 Investor Letter

Pinnacle Foods Inc (PF): Levin Capital Strategies Boosts Stake To Nearly 7%