Winthrop Realty Trust (FUR): Insiders Aren’t Crazy About It

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Winthrop Realty Trust (NYSE:FUR) was in 7 hedge funds’ portfolio at the end of the first quarter of 2013. FUR shareholders have witnessed a decrease in activity from the world’s largest hedge funds in recent months. There were 7 hedge funds in our database with FUR positions at the end of the previous quarter.

In today’s marketplace, there are tons of indicators shareholders can use to watch stocks. Some of the most underrated are hedge fund and insider trading movement. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the best money managers can beat the S&P 500 by a healthy amount (see just how much).

CITADEL INVESTMENT GROUPEqually as key, bullish insider trading activity is a second way to break down the stock market universe. There are plenty of motivations for an insider to drop shares of his or her company, but only one, very obvious reason why they would buy. Various empirical studies have demonstrated the impressive potential of this method if shareholders understand where to look (learn more here).

Keeping this in mind, we’re going to take a glance at the recent action surrounding Winthrop Realty Trust (NYSE:FUR).

What have hedge funds been doing with Winthrop Realty Trust (NYSE:FUR)?

Heading into Q2, a total of 7 of the hedge funds we track were long in this stock, a change of 0% from one quarter earlier. With hedge funds’ sentiment swirling, there exists an “upper tier” of notable hedge fund managers who were increasing their holdings considerably.

Of the funds we track, J. Alan Reid, Jr.’s Forward Management had the biggest position in Winthrop Realty Trust (NYSE:FUR), worth close to $11.2 million, accounting for 0.7% of its total 13F portfolio. The second largest stake is held by Ric Dillon of Diamond Hill Capital, with a $10.8 million position; 0.1% of its 13F portfolio is allocated to the stock. Some other peers with similar optimism include Ken Griffin’s Citadel Investment Group, John Overdeck and David Siegel’s Two Sigma Advisors and D. E. Shaw’s D E Shaw.

Seeing as Winthrop Realty Trust (NYSE:FUR) has experienced bearish sentiment from the smart money, it’s easy to see that there is a sect of money managers that decided to sell off their full holdings at the end of the first quarter. Interestingly, Murray Stahl’s Horizon Asset Management sold off the largest investment of all the hedgies we watch, worth an estimated $8.5 million in stock., and Alex von Furstenberg and Mal Serure of Arrow Capital Management was right behind this move, as the fund said goodbye to about $1.7 million worth. These bearish behaviors are important to note, as total hedge fund interest stayed the same (this is a bearish signal in our experience).

What do corporate executives and insiders think about Winthrop Realty Trust (NYSE:FUR)?

Insider buying is at its handiest when the company in question has experienced transactions within the past half-year. Over the latest half-year time frame, Winthrop Realty Trust (NYSE:FUR) has experienced zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).

Let’s also take a look at hedge fund and insider activity in other stocks similar to Winthrop Realty Trust (NYSE:FUR). These stocks are Excel Trust Inc (NYSE:EXL), Apollo Commercial Real Est. Finance Inc (NYSE:ARI), Gramercy Capital Corp. (NYSE:GKK), One Liberty Properties, Inc. (NYSE:OLP), and RAIT Financial Trust (NYSE:RAS). This group of stocks are the members of the reit – diversified industry and their market caps are closest to FUR’s market cap.

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