Ivy High Income Opportunities Fund (IVH): Hedge Funds Are Snapping Up

As aggregate interest increased, key money managers have jumped into Ivy High Income Opportunities Fund (NYSE:IVH) headfirst. Laurion Capital Management assembled the most valuable position in Ivy High Income Opportunities Fund (NYSE:IVH). Laurion Capital Management had $0.8 million invested in the company at the end of the quarter.

Let’s now take a look at hedge fund activity in other stocks similar to Ivy High Income Opportunities Fund (NYSE:IVH). We will take a look at vTv Therapeutics Inc (NASDAQ:VTVT), CAI International Inc (NYSE:CAI), New Home Company Inc (NYSE:NWHM), and Trupanion Inc (NYSE:TRUP). This group of stocks’ market values are closest to IVH’s market value.

As you can see these stocks had an average of 7 hedge funds with bullish positions and the average amount invested in these stocks was $18 million, compared to just $5 million in IVH’s case. CAI International Inc (NYSE:CAI) is the most popular stock in this table. New Home Company Inc (NYSE:NWHM) is the least popular one with only 4 bullish hedge fund positions, the same as Ivy High Income Opportunities Fund (NYSE:IVH). Considering that hedge funds aren’t fond of this stock in relation to other companies covered in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.