Ray Dalio: 3 Pieces of Advice for How to Manage Your Savings in a Coronavirus Recession (CNBC)
Though the stock market is on the rebound of late as more and more states reopen, hedge fund billionaire Ray Dalio has made it clear that he expects the ongoing coronavirus pandemic to leave behind an economic downturn that could be the worst since the Great Depression. “We’re not going to go back to normal” once the pandemic subsides, Dalio previously told CNBC Make It, arguing against the idea of a “v-shaped recovery” where the economy would rebound quickly once the country fully reopens.
Bill Ackman Has Outgrown His Hero (Deal Breaker)
The Ackmanaissance, that remarkable and improbable turnaround in Pershing Square Capital Management founder Bill Ackman’s fortunes from the depths of humiliation and failure to the heights of the hedge fund world, did not begin, as is commonly believed by romantics, when he even more improbably wrested the affections of a brilliant and beautiful woman from the arms of Brad Pitt. Instead, the spark was a 50-year-old letter written by Warren Buffett. This will not surprise the more seasoned Ackmanologists, who know well of his debt to and aspirations to become a successor to the Oracle of Omaha. The relationship has had its ups and downs (and then some more downs, and some more after that), but Ackman remains, at heart, a man of the Berkshirean persuasion.
The DE Shaw Group Closes First Onshore China Investment Fund (Hedge Week)
The DE Shaw Group, a global investment and technology development firm, has concluded fundraising for its initial onshore investment fund in China. The firm, a pioneer in quantitative investing established more than 30 years ago, has been active in mainland China since the mid-2000s, with a presence in Shanghai for more than a decade. “We’re grateful for the opportunity to manage capital on behalf of a broad range of onshore Chinese investors, including institutions, asset managers, and high-net-worth individuals, and we’re pleased the fund is off to a strong start,” says Julius Gaudio, Executive Committee member, the DE Shaw group.
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Hedge Fund Manager Drops Control of Fortune for $1 Trillion Job (Bloomberg Law)
Nicolai Tangen has almost crossed the finish line to become one of the most powerful people in global finance. The 53-year-old London-based hedge fund manager signed a contract that requires some sacrifices on his part in exchange for the title of chief executive of Norway’s $1 trillion wealth fund, the world’s biggest. The entity that hired him and that manages the fund, Norges Bank, presented a set of terms it hopes will appease critics and allow Tangen to start as CEO on Sept. 1. The Supervisory Council of Norges Bank, its watchdog, is due to respond on June 11.
Warren Buffett Loses a Star Hedge Fund Billionaire as a Berkshire Investor (Observer.com)
Billionaire hedge funder Bill Ackman, who enjoys the reputation as the “baby Warren Buffett” on Wall Street and is a longtime investor in Buffett’s investment conglomerate, Berkshire Hathaway, has decided to part ways with his idol. On Wednesday, Ackman revealed in a conference call that his investment firm, Pershing Square, had dumped its entire $1 billion stake in Berkshire Hathaway, along with smaller positions in other companies, including Blackstone and Park Hotels & Resorts. The transactions were first reported by Bloomberg.
Hedge Fund AUM Reaches $3.31tn as of 31 March 2020, Down by 9.4% from Q4 2019 (Opalesque.com)
The 2020 coronavirus pandemic around the world has severely affected the global economy causing economic distress on the hedge fund industry in Q1. Industry assets under management (AUM) fell by 9.4% from Q4 2019 to $3.31tn as of 31 March 2020, stated Preqin. This is the first time AUM has fallen below $3.5tn since Q4 2018. Poor performance accounted for the majority ($296.1bn) of lost assets, with investor redemptions totaling $47.7bn. This brings hedge funds to eight consecutive quarters of outflows. Almost all top-level strategies suffered outflows in Q1. Macro strategies and CTAs recorded the greatest capital withdrawals, at $10.8bn and $10.7bn respectively.
The Secret Sauce of Nordea’s Alpha Strategies (Hedge Nordic)
Stockholm (HedgeNordic) – Nordea’s Alpha 10 MA Fund gained 3.3 percent in March and 4.2 percent in April, making the multi-asset, multi-strategy fund one of the few funds that made money in both periods. Alpha 10 MA Fund, one of the three Alpha products managed by Nordea’s multi-asset investment team headed by Asbjørn Trolle Hansen, is up 5.7 percent year-to-date through May 27. In Nordea’s weekly webinar Morning Espresso, Hansen says that “unfortunately, we do not have the ability of just X-Raying what is going to happen a month from now.”
The Sr. EVP & Chief Technology Off of Huntington Bancshares (NASDAQ: HBAN) is Selling Shares (Analyst Ratings)
Today, the Sr. EVP & Chief Technology Off of Huntington Bancshares (HBAN), Paul Heller, sold shares of HBAN for $425K. In addition to Paul Heller, one other HBAN executive reported Sell trades in the last month.
Thursday 5/28 Insider Buying Report: CSWI, GBAB (Nasdaq.com)
At CSW Industrials, a filing with the SEC revealed that on Wednesday, EVP, CFO James E. Perry bought 5,000 shares of CSWI, for a cost of $69.68 each, for a total investment of $348,400. Perry was up about 4.3% on the purchase at the high point of today’s trading session, with CSWI trading as high as $72.70 at last check today. CSW Industrials is trading up about 3.4% on the day Thursday. This purchase marks the first one filed by Perry in the past twelve months. And at Guggenheim Build America Bonds Managed Duration Trust, there was insider buying on Wednesday, by Director Donald A. Chubb Jr. who bought 9,000 shares at a cost of $22.74 each, for a trade totaling $204,652. Guggenheim Build America Bonds Managed Duration Trust is trading up about 0.2% on the day Thursday. Chubb Jr. was up about 1.0% on the purchase at the high point of today’s trading session, with GBAB trading as high as $22.96 in trading on Thursday.
Rockwell Automation Inc (ROK) President and CEO Blake D. Moret Sold $665,147 of Shares (Guru Focus)
President and CEO of Rockwell Automation Inc., Blake D. Moret, sold 3,181 shares of ROK on 05/26/2020 at an average price of $209.1 a share. The total sale was $665,147. Rockwell Automation Inc engages in providing industrial automation and information solutions to make its customers more productive and the world more sustainable. It operates in two segments: architecture and software and control products and solutions.
