Citadel Gains in January Leading Early 2023 Hedge Fund Industry Returns (Reuters)
Ken Griffin‘s Citadel extended its winning streak with gains in January, weeks after ending 2022 with a $16 billion gain, the biggest profit ever earned by a hedge fund. Citadel’s flagship Wellington fund posted a 2.08% increase in January, according to an investor. The fund climbed 4.8% in December and ended 2022 with a 38.1% gain, said the person, who requested anonymity to speak about the private fund’s returns.
Hedge Fund Verde Says Victim of Brazil’s ‘Biggest Fraud Ever’ (Bloomberg Tax)
One of Brazil’s best-known hedge fund managers said it was stung by what it called the nation’s biggest case of corporate fraud on record with Americanas SA and joined banks in slamming the firm’s billionaire shareholders. Verde Asset Management, which is run by industry veteran Luis Stuhlberger and whose flagship hedge fund is up over 21,800% after fees since its 1997 inception, says its exposure to local bonds of the Brazilian retailer brought a 14 basis-point loss last month, trimming gains to 2.7% in January. “We were victims of a fraud,” Verde wrote in an investor note released Monday.
Billionaire Steve Cohen Leads $27.5 Million Investment in MediWound (CalcalisTech.com)
Cohen’s Point72 hedge fund invested $15 million in the round in what is believed to be the billionaire’s first investment in an Israeli company. Biomed company MediWound recently completed a funding round of $27.5 million, which included the sale of shares by existing investors. Calcalist has learned that the largest investor in the round is American billionaire Steve Cohen‘s hedge fund Point72, which invested $15 million. The round included the Israel Biotech Fund, founded by Shmuel Kabili, who is a prominent Israeli biomed investor, and Sol J. Barer, former chairman of the Israeli pharmaceutical giant Teva; and the aMoon fund, led by Yair Schindel. Another investor in the round was Deep Insight, which specializes in deep tech investments in Israel.
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Crispin Odey: ‘It will Take a Labour Government for the Tories to Realise Liz Truss was Right All Along’ (Telegraph.co.uk)
Hedge fund tycoon Crispin Odey has said that “we probably need a Labour” government to force the Conservative party to rally behind the low-tax economic agenda advocated by Liz Truss. Reacting to the former prime minister breaking her silence on her 49 days in Downing Street, the City investment manager conceded that last autumn “wasn’t the right moment” to thrust Trussonomics onto the British economy.
Former Hedge Fund Manager Lists 3 Reasons Berkshire Hathaway Has ‘Everything We Look For In A Stock’ (Benzinga)
Investment expert and former hedge fund manager Whitney Tilson, current president and CEO of Empire Financial Research, presented his bullish thesis on Warren Buffett holding company Berkshire Hathaway Inc (NYSE: BRK-A) (NYSE: BRK-B) at Guy Spier’s VALUEx conference in Klosters, Switzerland last week. In the presentation, Tilson explained why Berkshire has all three things he looks for in a stock: safety, value and healthy growth.
Bridgewater Names First Female Co-CIO (Hedge Week)
Bridgewater Associates, the world’s largest hedge fund firm founded by billionaire Ray Dalio, has named Karen Karniol-Tambour as its third co-chief investment officer and the first woman to hold the position at the firm, according to a company statement. The 37-year-old has been made a full partner at the firm and will now work alongside Bob Prince and Greg Jensen in leading the firm’s Investment Committee and holding ultimate responsibility for its investment strategy and outcomes.
A Prominent UK Cybersecurity Stock is Under Attack from Short Sellers. Here’s What You Need to Know (CNBC)
Cybersecurity company Darktrace, one of the U.K.’s most prominent tech names, has found itself under attack from short sellers. The company, whose tools allow firms to combat cyberthreats with artificial intelligence, was last week targeted in a report by New York-based asset manager Quintessential Capital Management. QCM, whose stated aim is “exposing fraud and criminal conduct in public companies around the world,” claims it has had a 100% success rate in its activist campaigns. The company told Reuters it holds a short position of 1.3% in Darktrace shares. London-based hedge fund Marshall Wace also shorted Darktrace, according to data site Breakout Point.
Opalesque Roundup: Global Hedge Funds Fell in 2022 But Strongly Outperform Equities and Bonds: Hedge Fund News, Week 05 (Opalesque.com)
In the week ending February 1st 2023, Preqin reported that global hedge fund returns fell by 6.5% in 2022, marking the biggest decline since 2008, when returns plummeted 13%. For comparison, the MSCI World Index, a broad global equity index that tracks the performance of large and mid-cap equities across 23 developed countries, fell by 18.7%. In contrast, the ICE BofA U.S. Treasury index lost almost 12%. The S&P 500 closed the year nearly 20% lower. Funds administered by the Citco group of companies recorded a weighted-average return of 4.11% for the fourth quarter. The median return of 2.44% indicates that larger hedge funds broadly outperformed smaller ones by sizable percentages.
Activist Hedge Fund that Targeted Insurer Aviva Slashes Its Holding After Campaign to Return More Cash to Shareholders Pays Off (ThisisMoney.co.uk)
An activist hedge fund that targeted insurer Aviva has slashed its holding after its campaign to return more cash to shareholders paid off. The move by Cevian, which has cut its stake to less than 5 per cent, is likely to be seen by the FTSE 100 giant as a vote of confidence in its strategy under chief executive Amanda Blanc. Cevian – a Swedish outfit led by Christer Gardell, known by some as ‘The Butcher’ – revealed in 2021 that it had taken a 5 per cent stake.
Monday 2/6 Insider Buying Report: PSX, ADES (Nasdaq.com)
On Thursday, Phillips 66’s Director, Gregory Hayes, made a $1.00M purchase of PSX, buying 10,250 shares at a cost of $97.75 each. Phillips 66 is trading off about 1.8% on the day Monday. And at Advanced Emissions Solutions, there was insider buying on Wednesday, by Director Richard Campbell-breeden who purchased 52,742 shares at a cost of $4.00 each, for a total investment of $210,968. This buy marks the first one filed by Campbell-breeden in the past year. Advanced Emissions Solutions is trading up about 6.9% on the day Monday. Bargain hunters are able to buy ADES at a price even lower than Campbell-breeden did, with the stock changing hands as low as $3.05 in trading on Monday which is 23.8% under Campbell-breeden’s purchase price.
$20 Million Bet On Precigen? Check Out These 4 Penny Stocks Insiders Are Buying (Nasdaq.com)
Precigen: The Trade: Precigen, Inc. (PGEN) Director Randal J Kirk bought a total of 11,428,571 shares at an average price of $1.75. To acquire these shares, it cost around $20 million . GeneDx Holdings: The Trade: GeneDx Holdings Corp. (WGS) 10% owner Opko Health Inc acquired a total of 14,285,714 shares at an average price of $0.35. To acquire these shares, it cost around $5 million.
