Legendary Investor Seth Klarman Outlines the Key Traits Needed to Become a Successful Investor (Business Insider)
Legendary value investor Seth Klarman highlighted the key traits investors need to have to be successful in navigating today’s stock market, according to a recent interview with CNBC. The co-founder and CEO of the $25 billion hedge fund firm Baupost Group had plenty to say about where the economy’s going from here and why the real estate sector could be the next big investment opportunity.
Billionaire Steve Cohen Downplays a Recession, Predicting a Stock Market Rally Fueled by AI. Here’s What He’s Buying. (The Motley Fool)
Fear of a recession has some investors sitting out the current rally. One of Wall Street’s finest says the fear is overblown. The S&P 500 has gained roughly 14% so far in 2023, in stark contrast to its 19% decline last year. Furthermore, each of the major market indexes has rallied more than 20% from their respective bottoms, signaling the next bull market, at least as defined by some experts.
Davidson Kempner Reviews $250 Million Byju’s Loan Amid Crisis (CNBC TV 18)
Davidson Kempner Capital Management isn’t fully disbursing a $250 million loan it had extended to the Indian ed-tech firm Byju’s as the US hedge fund reviews the lending decision in light of an escalating crisis at the company, according to people familiar with the matter. The fund, which manages more than $38 billion, has given out less than half of the $250 million of convertible debt it had offered the Indian startup as some loan agreement covenants weren’t met, the people said, asking not to be named as the information isn’t public. The firm is reviewing its lending decision after the company lost its auditor and three board members in the same week, raising questions about its accounting practices.
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CARN Celebrates Ten-Year Anniversary (Hedge Nordic)
Norwegian fund boutique CARN Capital is celebrating its ten-year anniversary this June. Based in Oslo, the single-strategy manager currently operates two funds, a long/short equity fund that has been running since 2015 and a long-only curve-out launched five years later. “Today it is ten years since CARN Capital was started. Now when we look back on the last ten years we are filled with gratitude,” writes CEO and CIO Andreas Bomann-Larsen, who co-founded CARN Capital in mid-2013.
Crispin Odey’s Hedge Fund in Talks to Move Funds to S.W. Mitchell Following Misconduct Allegations (The Wall Street Journal)
Odey Asset Management is in advanced talks to transfer four of its funds to London-based investment manager S.W. Mitchell Capital, the latest fallout at the hedge fund since its founder, Crispin Odey, was accused of sexual misconduct. Four Odey funds managed by Oliver Kelton are the focus of the discussions, according to a letter sent to investors Tuesday and signed by Michael Ede, Odey Asset Management’s chief operating and financial officer. Similar conversations are ongoing for other funds at the firm, according to the letter.
Bankrupt Three Arrows’ Liquidators Seek $1.3 bln from Fund’s Founders – Source (Reuters)
Liquidators at bankrupt cryptocurrency hedge fund Three Arrows Capital (3AC) are seeking to recover $1.3 billion from the co-founders, a person familiar with the matter told Reuters on Tuesday, an amount that reflects losses they allegedly racked up before the firm collapsed last year. The liquidators discussed the allegations against Three Arrows co-founders Su Zhu and Kyle Davies at a Tuesday meeting with the hedge fund’s creditors, the person said.
Insider Trading Is Widespread in a Popular Corner of the Crypto Market (Bloomberg)
Insider trading is rife in a popular corner of the cryptocurrency market. So says Solidus Labs, a New York-based company that specializes in ways to monitor suspicious crypto transactions. Its founders include Asaf Meir and Praveen Kumar, two former employees of Goldman Sachs Group Inc.’s trading-technology operations.
Two Sigma’s Unusual Risk Disclosure was Years in the Making, Hedge Fund Insiders Say (Business Insider)
Two Sigma, the $60 billion quantitative hedge fund giant, is known in the investment management industry and beyond for what it tends to do best: using the power of complex mathematical models and algorithms to invest and making a lot of money doing it. But people with direct knowledge of the matter say it has also long been associated with an open secret to those who know the New York firm well: The two men who founded and run Two Sigma don’t exactly get along.
New York Activist Saba Capital Holds Major Stake in VG1 Fund (Hedge Week)
Saba Capital, a $4.4 billion New York-based activist hedge fund firm founded by Boaz Weinstein, has emerged as a major shareholder in Regal Partners’ listed VG1 fund with a 5% stake in the investment vehicle, according to a report by the Financial Review. VG1, which was listed by VGI Partners on the Australian Stock Exchange (ASX) in September 2017, before the firm was acquired by Regal Partners in June last year, employs the same long-short global equities strategy as the firm’s flagship fund previously only available to high-net-worth clients and wealth families.
Wednesday 6/28 Insider Buying Report: MSGE, MPAA (Nasdaq.com)
On Tuesday, Madison Square Garden Entertainment’s Director, Thomas Charles Dolan, made a $10M purchase of MSGE, buying 322,580 shares at a cost of $31.00 each. Dolan was up about 8.8% on the purchase at the high point of today’s trading session, with MSGE trading as high as $33.73 in trading on Wednesday. Madison Square Garden Entertainment is trading up about 2.1% on the day Wednesday. This buy marks the first one filed by Dolan in the past twelve months. And at Motorcar Parts of America, there was insider buying on Friday, by Douglas B. Trussler who bought 50,000 shares for a cost of $7.00 each, for a total investment of $350,000. This purchase marks the first one filed by Trussler in the past year. Motorcar Parts of America Inc is trading up about 15.8% on the day Wednesday. So far Trussler is in the green, up about 23.3% on their purchase based on today’s trading high of $8.63.
$2M Bet On Universal Technical Institute? Check Out These 3 Stocks Insiders Are Buying (Benzinga)
Universal Technical Institute: The Trade: Universal Technical Institute, Inc. (UTI) Director Adam Gray acquired a total of 307,650 shares an average price of $6.67. To acquire these shares, it cost around $2.05 million. Comtech Telecommunications: The Trade: Comtech Telecommunications Corp. (CMTL) Director Mark R Quinlan acquired a total of 100,000 shares at an average price of $8.89. To acquire these shares, it cost around $888.57 thousand.
