Third Point’s Loeb No Longer Considering Taking Insurer SiriusPoint Private (Reuters)
Billionaire investor Daniel Loeb is no longer exploring a potential acquisition of SiriusPoint Ltd (SPNT.N), according to a regulatory filing on Friday, a month after disclosing his interest in taking the insurance firm private. Loeb, who runs hedge fund Third Point, and SiriusPoint were unable to reach a consensus on the value of a potential deal, the filing said. The insurer’s shares fell 9.3% to $9.03 in morning trading. The company had a market value of $1.6 billion as of Thursday close.
Here Are the Winners of the 20th Annual Hedge Fund Industry Awards (Institutional Investor)
Citadel and Saba Capital Management took home the most trophies. After a complicated year for hedge fund strategies, one firm ranked above the rest for institutional investors. Allocators named Citadel the Institutional Hedge Fund Manager of the Year on the heels of the firm’s biggest gain in over a decade. Citadel also earned the title of Multistrategy Hedge Fund Manager of the Year at the Hedge Fund Industry Awards. Institutional Investor held the 20th Annual Hedge Fund Industry Awards on Thursday at the Mandarin Oriental in New York City. Finalists across 18 categories, including allocators, consultants, and other hedge fund managers, received awards over the course of the evening.
Hedge Fund Trade With a History of Blowups Is Back Again (Bloomberg)
Hedge funds looking to profit from dislocations in the US Treasury market appear to be playing with the very fire that burned them so spectacularly in the depths of the pandemic turmoil. A recent surge in leveraged positions betting that Treasury futures will fall — at a time when Wall Street is increasingly confident that a US recession will soon spur rapid central bank interest-rate cuts — smacks of so-called basis trading, market watchers say. That’s when hedge funds seek to profit from a mismatch in pricing between Treasury futures and the deliverable note or bond.
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Hedge Fund L1 Capital is Buying Cyclicals in Contrarian Trade (AFR.com)
Melbourne-based hedge fund L1 Capital says it has pared back its long exposure to equity markets but it is buying unloved cyclical stocks over defensive companies that have already priced in future interest rate cuts. Mark Landau, the co-founder of the 16-year-old hedge fund, told investors that ASX-listed companies that derived their revenues offshore were particularly vulnerable, given their elevated valuations and the weak Australian dollar.
Inside the World’s Most ‘Exclusive’ Hedge Fund – Run by Harvard Students (Express.co.uk)
Black Diamond Capital Investors is a student-run money management organisation based out of Harvard University. Members of the “most exclusive hedge fund in the world” are sharing how they make their money through investing. In order to become a member of the “exclusive” fund, students need to be studying at the university and go through an admissions process. The hedge fund was founded in 2012 and provides Harvard students with the opportunity to invest money and work alongside Wall Street giants. According to its website, Black Diamond outperforms the S&P 500 “by an average of seven percent annually over the past years”.
