Fortress Investment Group Recognized for “Diversity and Inclusion Achievement” at 2021 HFM US Performance Awards (BusinessWire)
NEW YORK–(BUSINESS WIRE)– Fortress Investment Group LLC (“Fortress”) was named the recipient of the inaugural “Diversity and Inclusion Achievement” award at the 2021 HFM US Performance Awards, which were held on November 4 in New York City. The prestigious awards celebrate US hedge funds and fund of hedge funds that have demonstrated exceptional performance and management over the last 12 months. “We are honored to receive this recognition from HFM, even as we recognize that the vital work of addressing diversity and inclusion in our industry is only just beginning,” said Drew McKnight, Fortress Managing Partner and a founding member of the firm’s Diversity Committee. “Our overriding objective is always to produce exceptional returns for our investors, and we believe the breadth of backgrounds, experiences and perspectives represented in a truly diverse workforce can only help us in achieving that goal. We will continually challenge ourselves to do more and to do better.”
CoreWeave Raises $50M for New Fund From Magnetar Capital (Coin Desk)
CoreWeave, the specialized cloud service provider and Ethereum miner, has raised $50 million from Magnetar Capital to provide high-performance computing infrastructure. “With this new round of growth financing, CoreWeave will expand its offering to make high performance computing available at the industry’s best performance-adjusted cost on a vastly broader scale,” CoreWeave CEO Michael Intrator said in a statement on Wednesday.
‘The Big Short’ Investor Michael Burry Says Tesla Stock could Plunge 90% – and Notes Elon Musk Said it was Overpriced at $160 Last Year (Business Insider)
Michael Burry suggested Tesla stock could plummet 90% in a now-deleted tweet on Tuesday. The investor of “The Big Short” fame drew a parallel to Amazon shares plunging when the dot-com bubble burst, and only soaring years later once the e-commerce giant transformed its business. “Can $TSLA fall 80, 90%? After 2000, many high flyers did. $AMZN fell 95% 2 decades ago, changed its whole biz, and thrived much later,” Burry tweeted.
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Brazilian Hedge Fund Verde Gets Stung by Bets on Local Stocks (Bloomberg)
Brazil’s Verde Asset Management, whose flagship fund is known for its outsized returns over the past two decades, had one of the worst months in its history after a wrong-way bet on local stocks. “We believed a lot of bad news was priced in, and that political actors had reasonable incentives not to breach the spending cap,” Verde said in a letter to clients. “That view has proved wrong.”
SEC Wins Fraud Jury Trial Against Hedge Fund Manager (Hedge Week)
Jurors in a Boston federal court have returned a verdict in the Securities Exchange Commission’s favour against a hedge fund adviser and his investment advisory firm. Gregory Lemelson and Massachusetts-based Lemelson Capital Management LLC were charged with fraud in September 2018 for reaping more than USD1.3 million in illegal profits by making false statements to drive down the price of San Diego-based Ligand Pharmaceuticals Inc. The SEC’s evidence at trial showed that after establishing a short position in Ligand through his hedge fund, Lemelson made a series of false statements to shake investor confidence in Ligand and lower its stock price, increasing the value of his fund’s position.
Billionaire Hohn Urges Central Bankers to Turn Up Climate Heat on Lenders (Reuters)
GLASGOW, Nov 9 (Reuters) – Central bankers must force the world’s banks to set short-term targets to cut carbon emissions from their loan books or the sector’s net-zero pledges will simply be “greenwashing”, billionaire hedge fund investor Chris Hohn told Reuters. Speaking on the sidelines of the COP26 climate talks in Scotland, Hohn – a major financial backer of climate-focused non-governmental organisations – told Reuters annual emissions cuts of 7% were needed to ensure global targets were hit.
‘Quant Winter’ Brings Down Factor Fund (Hedge Nordic)
Stockholm (HedgeNordic) – Alternative risk premia funds, which employ a rules-based approach to harvest risk premia such as value, quality, or momentum, have struggled to deliver on their promise of strong risk-adjusted returns with low correlation to traditional asset classes in a liquid, cost-efficient and transparent form. One casualty of the recent underperformance is the Evli Factor Premia Fund. Finnish asset manager Evli has announced the closure of its market-neutral factor fund, Evli Factor Premia.
Kerry Packer’s Aborted Role in LTCM Saga (AFR.com)
The stupendous rise and equally spectacular fall of hedge fund Long Term Capital Management in 1998 has long drawn the imaginations of finance wonks and historians. But Kerry Packer’s role in the saga is far less well known. Though it’s received an airing of late, courtesy of the recent reflections of finance professor and Long Term Capital Management partner Eric Rosenfeld on gambling podcast Risk of Ruin.
U.S. charges McKinsey Partner with Insider Trading in Goldman-GreenSky Purchase (Reuters)
NEW YORK, Nov 10 (Reuters) – A partner at the McKinsey consulting firm was criminally charged on Wednesday with insider trading ahead of Goldman Sachs Group Inc’s (GS.N) agreement to buy digital lender GreenSky Inc (GSKY.O) for $2.24 billion, U.S. prosecutors said on Wednesday. Puneet Dikshit, 40, of Manhattan, allegedly generated about $450,000 of profit after purchasing call options in GreenSky, a bet that its stock price would rise, that he sold after the merger was announced on Sept. 15.
Renovacor Insider Makes $1.4M Stock Purchase (Benzinga)
Roderick Wong, 10% Owner at Renovacor (AMEX:RCOR), made a large insider buy on November 8, according to a new SEC filing. What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Monday showed that Wong purchased 172,210 shares of Renovacor at at prices ranging from $8.03 to $8.38. The total transaction amounted to $1,409,677. Following the transaction, Wong now owns 2,534,750 shares of the company, worth $21,291,900.
What Did This CEO Just Do with Personal Shares of Assurant (NYSE: AIZ)? (Analyst Ratings)
Yesterday, the CEO of Assurant (AIZ), Alan Colberg, sold shares of AIZ for $2.22M. Following Alan Colberg’s last AIZ Sell transaction on June 02, 2014, the stock climbed by 101.8%. This is Colberg’s first transaction since reporting a Buy transaction on KMX back in April 2016. Based on Assurant’s latest earnings report for the quarter ending September 30, the company posted quarterly revenue of $2.64 billion and quarterly net profit of $882 million.
