Buffett Feels Hedge Fund Managers’ Chill After Warmth in Omaha (Bloomberg)
Warren Buffett had plenty of admirers Saturday at the annual meeting of his Berkshire Hathaway Inc. in Omaha, Nebraska. Some hedge-fund managers in Las Vegas this week seem more inclined to throw stones at the investing legend. Jim Chanos followed up Thursday on comments made a day before by Daniel Loeb, citing inconsistencies in the billionaire’s words and actions. Buffett was on the board of Coca-Cola Co. in the late 1990s when the soft-drink maker was playing “egregious accounting games” with its bottler, said Chanos, who was betting on the stock to decline.
Here’s Where John Paulson Is Investing Now (The Wall Street Journal)
Since his spectacularly profitable short of the subprime mortgage market during the crisis, the hedge-fund manager John Paulson has had one of the more interesting up and down rides in the industry. He was whipsawed by an ill-timed gold thesis and a foray into Fannie Mae and Freddie Mac , among other issues. Now, $19 billion Paulson & Co. is up big again this year on the strength of his merger bets.
Hedgie: This Biotech Stock Is Going To Zero (CNBC)
The hedge fund manager who has already made a killing betting against biotech company MannKind Corp. now says the stock will soon be worthless. “After 14 weeks of a disastrous drug launch and with much more data and research, we now believe that MNKD will go to ZERO,” Jason Karp and his $2.5 billion Tourbillon Capital Partners wrote in a May 5 letter to investors obtained by CNBC.com.
BlueCrest’s Main Macro Hedge Fund Posts Best Monthly Gain For Five Years (Reuters)
BlueCrest‘s flagship macro hedge fund, managed by billionaire Michael Platt, gained 2.8 percent in April, recording its highest monthly return in more than five years, an investor newsletter seen by Reuters showed. The gain marks a sharp recovery by the BlueCrest Capital International fund, which had seen billions of dollars in outflows after two years of poor returns and a near 6 percent loss in January, partly from bets that went sour after an unexpected surge in the Swiss franc.