Editor’s Note: Related tickers: Dell Inc. (NASDAQ:DELL), Vodafone Group Plc (ADR) (NASDAQ:VOD), Amazon.com, Inc. (NASDAQ:AMZN)
Tiger Global launches long-only fund (CNBC)
Tiger Global Management, Chase Coleman‘s more than $11 billion stock-focused hedge and private equity fund firm, is set to launch a long-only vehicle, according to two people familiar with the situation. Specifics of the long-only fund, which has been planned for months, were not immediately available, but it features a lengthy time commitment by investors during which their funds cannot be withdrawn, according to a person with direct knowledge of the situation. The new fund will be run equally by three portfolio managers: Coleman, Feroz Dewan and Scott Shleifer.
How Carl Icahn Won the Battle for Dell (247WallSt)
Carl Icahn won the battle to control Dell Inc. (NASDAQ:DELL) with one quick action. He walked away from the competition to run a company that has no future. After months in which he tried to convince investors of the extremely modest price Michael Dell and his financial supporters were willing to pay to take Dell Inc. (NASDAQ:DELL) private, Icahn said he was beaten — outflanked — after he used his powers of persuasion to make the case that ancient technology has a future in a world that years ago passed it by. The case that the end of Icahn’s bid will serve him well financially has two parts. The first is that a special committee of the PC company’s board made a negative assessment of Dell’s prospects. The other is the recent trend of Dell Inc. (NASDAQ:DELL)’s earnings…
Vodafone faces pressure to raise $10 billion Kabel bid: sources (Reuters)
Vodafone Group Plc (ADR) (NASDAQ:VOD) is facing pressure from Kabel Deutschland’s largest shareholder to raise its 7.7 billion euro ($10.1 billion) offer for Germany’s largest cable company, two sources familiar with the situation said. Activist investor Paul E. Singer, founder of U.S. hedge fund Elliott Asset Management, more than doubled his stake to 10.9 percent on September 6, Kabel Deutschland said on Monday two days before shareholders have to decide whether to accept Vodafone Group Plc (ADR) (NASDAQ:VOD)’s offer. “Vodafone’s offer is not ideal. The goal is to renegotiate terms,” a person familiar with the hedge fund’s thinking said.
ASIC says hedge funds not a problem (CourierMail)
A survey of Australia’s largest hedge funds by the Australian Securities and Investments Commission (ASIC) found they were responsible for only a small share – 3.1 per cent – of Australia’s $2.1 trillion managed funds industry. Hedge funds are viewed suspiciously by regulators, due to a track record of using wealthy investors’ funds to disrupt financial systems chasing high returns with speculative investments, such as betting on assets failing. The hedge funds surveyed were not highly leveraged – using borrowings – and appeared to have adequate liquidity to meet obligations, ASIC said.
Hedge funds urged to promote risk management benefits to investors (Risk)
Most hedge funds are self-described absolute return vehicles that promote their ability to produce superior alpha versus other types of investments. It was the allure of double-digit returns following the tech bubble collapse that sparked the explosion of hedge funds in the early 2000s. Recent hedge funds returns have been lacklustre compared with equity investments. Moreover, the introduction of low-cost equity investments through the tremendous growth of exchange-traded funds (ETFs) coupled with disappointing returns has made attracting and retaining investors a challenge, putting pressure on existing hedge fund fee structures.
Dollar rallies in Asia on hedge fund buys (Brecorder)
The dollar staged an afternoon rally in Asian trading on Tuesday as hedge fund purchases helped push up the unit. The dollar fetched 99.96 yen from 99.69 yen in New York on Monday, while the euro was at $1.3251 from $1.3254. The European single currency strengthened to 132.48 yen from 132.10 yen in US trading. “There have been large buying orders of the euro/yen pair by hedge funds,” said a senior dealer at a major bank in Japan. “That’s helping push up the dollar/yen” rate.
Fed looking for an excuse to taper: Pro (CNBC)
Here’s What This $53 Billion Hedge Fund Company Has Been Buying (DailyFinance)
Every quarter, many money managers have to disclose what they’ve bought and sold, via “13F” filings. Their latest moves can shine a bright light on smart stock picks. Today let’s look at the D.E. Shaw & Co., founded by David E. Shaw and with a reportable stock portfolio totaled $53.2 billion in value as of June 30. Shaw is known as a math wizard, and a quantitative investing pioneer. His firm is reportedly extremely selective, hiring less than 1% of applicants — and Amazon.com, Inc. (NASDAQ:AMZN) CEO Jeff Bezos once made the cut.
Hedge Fund Manager Feeling Pithy In Face Of 28% Loss (DealBreaker)
Aristarchus performed well in 2011, with returns of 12.8%, and again in 2012, with 15.3%. But in the eight months to August 31, it has lost 27.7%, following declines of 8.4% in May, 14.2% in June, 4.3% in July and 6.8% in August, investors said. Cantab chief investment officer Ewan Kirk, former head of Goldman Sachs Strategies Group in Europe who set up the firm in 2006 with ex-Goldman technology chief Erich Schlaikjer, said: “I’ve had better summers….”
Marc Faber: Malaysia’s financial condition among the strongest today (TheStar)
Malaysia’s financial condition is one of the strongest in the world today due to the prudent management of its financial system, said investment guru Dr Marc Faber. “Unlike US banks, Malaysia’s are solid and they do not involve in derivatives or gamble,” he told a press conference after giving a presentation entitled “Investment Strategy Where’s the Money?” here today. Faber, the publisher of the widely-read Gloom, Boom & Doom report, said despite Fitch Ratings recent negative outlook on Malaysia, the country stood out relatively well compared to other emerging countries.
Hedge fund Mariner to seek out environmentally conscious bets (Reuters)
Hedge fund Mariner Investment Group, a $10 billion firm founded by William Michaelcheck, will look for companies that have sound environmental, social and governance policies as it searches for new investments. The firm said on Tuesday that it signed the United Nations-supported Principles for Responsible Investment and is now using environmental, social and governance (ESG) screening tools developed by MSCI to analyze fixed income and long/short investments at one of its portfolios.
Citadel, Millennium Among Multistrat Managers Posting Gains in August (InstitutionalInvestorsAlpha)
August may have been a rough month for trend followers and other computer-driven hedge fund managers, as well as for many long-only stock pickers. But it was pretty good for multistrategy managers, most of whom were able to make money even though the three major equity indexes all posted losses. Last month the Dow Jones Industrial Average fell 4.4 percent, the S&P 500 dropped 3.1 percent, and the Nasdaq Composite declined 1 percent. The average multistrategy hedge fund eked out a slight gain for the month, however, returning 0.06 percent, according to industry tracker eVestment. But it’s not time to celebrate just yet: For the year the average multistrat fund is up only 2.81 percent.
