Energy-Focused Hedge Fund Luminus Liquidates Some Assets (The Wall Street Journal)
Luminus Management LLC, a hedge fund that invests in the energy and power sectors, has sold almost all the assets in its largest fund to return money to investors. New York-based Luminus began to unwind holdings in its Energy Partners fund about a year ago, when the Covid-19 pandemic triggered market turmoil and prompted investors to withdraw their money, according to people familiar with the matter. The total value that the firm manages has fallen to $1.15 billion, from about $2.1 billion in March 2020, one of the people said.
Anthony Scaramucci’s SkyBridge Fund Tells Bitcoin Investors Not to Sweat Over the Cryptocurrency’s Wild Volatility (Business Insider)
Bitcoin investors should be prepared for wild volatility, SkyBridge‘s co-investment chief said. Troy Gayeski said SkyBridge is bullish on bitcoin, citing stimulus and institutional adoption. The firm was founded by Anthony Scaramucci, who worked briefly in Trump’s White House.
SEC Charges Hedge Fund Manager with $38 Million Fraud (Chief Investment Officer)
Andrew Franzone allegedly used misappropriated funds to buy an airplane hangar for his race car collection. The US Securities and Exchange Commission (SEC) has charged the owner of an investment adviser firm with fraudulently raising and misappropriating more than $38 million from approximately 90 investors from the sale of limited partnership interests in a private fund. According to the SEC’s complaint, Andrew Franzone defrauded investors by making misrepresentations regarding the strategy and investments of a private fund called FF Fund I LP.
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China Hedge Fund Minghong Recovers After Record Redemptions (Bloomberg)
Shanghai Minghong Investment Management Co., China’s largest quant hedge fund until recently, said it stemmed losses after earlier losses led to the biggest redemptions in its seven-year history. After dropping 27% in the first quarter, the offshore fund’s net asset value stayed largely unchanged this month through April 28, founder Qiu Huiming said in a phone interview from Shanghai. The improvement came after adjustments to its trading model last month, he added.
Point72 Hedge Fund Executive Buys Newly Built Miami Beach Mansion (Photos) (Biz Journals)
Luxury homebuilder Todd Michael Glaser sold a new waterfront mansion in Miami Beach for $12 million to an executive from a hedge fund that is opening a local office. The 5,735-square-foot home at 1500 W. 21st St. was sold by 1500 W 21 LLC, managed by Glaser, to Alex J. Silverstein, a portfolio manager at Point72 Asset Management, based in New York.
Activist Investors Post Strong Returns with Board Campaigns in First Quarter (Reuters)
BOSTON (Reuters) – Activist investors have been outperforming their peers and the broader market this year by pushing for board-room changes rather than dramatic business overhauls, breakups or mergers, according to performance data and industry sources. The average activist hedge fund returned 8.76% in the first quarter, ahead of the broader hedge-fund industry’s 6% gain and a 5.8% rise in the S&P 500 stock market index, Hedge Fund Research data show. Brand-name firms like Third Point LLC and Engaged Capital, as well as smaller players like Ancora Alternatives and newcomers including Honest Capital LLC, did even better, posting double-digit gains, investors familiar with the numbers said.
Carpe Diem: How can Hedge Funds Benefit from Greater Agility to Build on Last Year’s Performance? (Hedge Week)
On the back of impressive performance in 2020, this is the time for hedge fund managers to seize the moment and build on the momentum, and growing investor appetite in the asset class. While dislocations have fuelled hedge fund performance over the past 12 months, a heightened state of volatility is likely to remain, even as the global economy emerges from the pandemic. As such, business agility will be key to hedge fund managers seeking for ways to optimise new opportunities and emerge stronger than ever.
Hedge Funds Take a Shine to Greece (Bloomberg)
By a number of measures, Greece is back in the game. Untouchable for investors for the best part of a decade, the southern European nation returned to the 30-year bond market last month, successfully tapping buyers flush with cash and hungry for yield. Optimism that Greece’s post-pandemic rebound will be more impressive than the rest of Europe’s has also drawn investors to one of the biggest plays on the country’s growth potential: its top banks. The recent run in bank shares has been spectacular, with the market value of three of the country’s four largest lenders more than doubling in six months. Hedge fund notables such as John Paulson have been placing bets on Greek banks, whose path to sustainable profitability looks clearer now with bad-loan ratios at some firms on course to drop to below 10% thanks to mammoth disposals.
Thursday 4/29 Insider Buying Report: SWIM, TELL (Nasdaq.com)
On Tuesday, Latham Group ‘s Chief Executive Officer, Scott Michael Rajeski, made a $285,000 buy of SWIM, purchasing 15,000 shares at a cost of $19.00 each. Rajeski was up about 52.3% on the purchase at the high point of today’s trading session, with SWIM trading as high as $28.93 in trading on Thursday. Latham Group is trading up about 0.8% on the day Thursday. This buy marks the first one filed by Rajeski in the past year. And at Tellurian, there was insider buying on Tuesday, by Director Diana Derycz Kessler who bought 100,000 shares for a cost of $2.14 each, for a total investment of $213,630. Tellurian is trading up about 3.1% on the day Thursday. So far Kessler is in the green, up about 12.8% on their purchase based on today’s trading high of $2.41.
Claims of Insider Trading in JB Hi-Fi (ASX:JBH) Shares (The Motley Fool)
It has been a difficult week for JB Hi-Fi Limited (ASX: JBH) shareholders. Mostly due to losing its illustrious CEO, Mr Richard Murray, to Premier Investments Ltd (ASX: PMV), but also the decline in the JB Hi-Fi share price. In the last week of trading, shares in the Australian retailer have fallen over 12%. Although, industry experts are pointing towards the suspicious 10% fall that occurred prior to Murray’s departure announcement.
Portfolio Manager to Obtain Prior Approval of SEBI in Case of Change in Control (The Economic Times)
NEW DELHI: Sebi has notified new norms, whereby portfolio managers will need to obtain prior approval of the capital markets regulator in case of change in control. This comes after Sebi, in March, came out with new regulations for portfolio managers with regard to their qualifications.
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