Editor’s Note: Related Tickers: Chipotle Mexican Grill, Inc. (NYSE:CMG), Herbalife Ltd. (NYSE:HLF), J.C. Penney Company, Inc. (NYSE:JCP), The Procter & Gamble Company (NYSE:PG)
Billionaire investors take aim at Fed’s policies (Moneycontrol.com)
The Anti-Ackman Effect: Herbalife Surges Then Plunges As Hedge Fund Billie Omits It From Ira Sohn Speech (Forbes)
As Bill Ackman took the stage on Wednesday at the Ira Sohn Conference in New York, the audience erupted in applause expecting to hear one of the day’s best ideas. Instead, they spent their time checking emails as the chief of Pershing Square ignored Herbalife Ltd. (NYSE:HLF) and J.C. Penney Company, Inc. (NYSE:JCP), and chose pitch The Procter & Gamble Company (NYSE:PG) as an underpriced, yet amazing company. Hot shot hedge fund managers are known to have a huge impact on stock prices, particularly when they speak in high profile conferences like Ira Sohn. Ackman, who everyone was aching to listen to, disappointed the audience sitting at New York City’s Lincoln Center.
Golden Fleeced – Paulson looking to salvage reputation (New York Post)
But for hedge-fund billionaire John Paulson, yesterday it became a place to tell people he’s not all about the gold. That’s the message the billionaire investor sent to the 2,000 attendees at the SALT hedge-fund conference here, as he talked about the investments in his New York-based $18 billion firm that were more successful than the huge gold fixation that has cost him so dearly. Paulson rehashed his famous subprime short trade and reminded the crowd that he has a 19-year record of profitably investing in merger deals, according to attendees at the off-the-record session who said they were disappointed in the talk.
Hedge funds bet against Chipotle (CNNMoney)
Credit: Chipotle Mexican Grill, Inc. (NYSE:CMG)
Zen Capital Management Delivers the World’s Highest Risk Adjusted Return for April? (NewsMaker)
The Zen Capital Management Global Fund SP rose 2.67% (gross) for the month of April, significantly outperforming the HFRI Fund Weighted Composite Index which rose 0.69%. What is remarkable about this return is that was delivered with a daily volatility 60% lower than that of the S&P500 over the same period. The combination of strong returns and low volatility meant Zen achieved an…
…extremely impressive Sharpe Ratio of 5.02 for the month. This performance is likely to be one of the highest, if not the highest, risk-adjusted return for any hedge fund in the world for the month of April.
Congress Testimony ‘Slowed Us’: Hedge Fund Pro (CNBC.com)
Being called to testify before the U.S. Congress did little to help him lure clients, said Tilden Park Capital Management CIO Josh Birnbaum, whose hedge fund nonetheless managed to top the industry in 2012. Asked whether his testimony regarding his role in then-employer Goldman Sachs Group, Inc. (NYSE:GS)’s $3.7 billion windfall in betting against the subprime housing market had hurt his business, Birnbaum said, “Without a doubt.” “You go back to that period in 2010, when we were just getting our firm rolling, and nothing stops the momentum of a hedge fund like appearing in front of Congress, so there’s no question that that slowed us down,” he said on “Fast Money.”
Hedge Funds Log ‘Meager’ $817M Inflows In March: BarclayHedge, TrimTabs (Barron’s)
Investors poured less money into hedge funds in March, as the industry continued to trail the market. Hedge funds logged net inflows of $817 million in March, down from $11.4 billion in the prior month, according to BarclayHedge and TrimTabs Investment Research. The firms, which surveyed more than 3,400 funds, called the inflows ‘meager,’ but noted that it’s not surprising, given that the industry’s 1.1% gain for March was less than one-third of the S&P 500’s return of 3.6% during the month.
Taveras invests 20% in hedge funds, more than Raimondo (WPRI-TV 12)
It turns out that the Democratic gubernatorial hopeful who has the biggest chunk of pension money invested in hedge funds isn’t Treasurer Gina Raimondo – it’s Providence Mayor Angel Taveras. Providence has invested 19.75% of its total pension assets in hedge funds, the Taveras administration disclosed Tuesday after WPRI.com requested a breakdown of its investment portfolio. Rhode Island’s state pension system has invested somewhat less in hedge funds – 14.6% of assets as of April – under a new investment strategy implemented by Treasurer Gina Raimondo soon after she took office in 2011.
From the Titans, a Tip or Two (Wall Street Journal- India)
Billionaire investor Stanley Druckenmiller said the Australian dollar’s skid is far from over and recommended investors bet against the currency. The prediction, and pitch, were one of a slew Wednesday at the Sohn Investment Conference in New York, where some of the world’s best-known hedge-fund managers get about 15 minutes to make their best case for an investment idea or two. The annual conference, made famous by some presentations including David Einhorn’s 2008 takedown of Lehman Brothers Holdings Inc. before it filed for bankruptcy protection, is a benefit that raises money for the treatment of pediatric cancer and other childhood illnesses.
Andurand Hedge Fund Said to Return 25% as Crude Spread Narrows (San Francisco Chronicle)
Pierre Andurand’s hedge fund returned 25 percent since its February inception after predicting that the differential between New York and London crude oil would drop, two people with direct knowledge of the matter said. Andurand Capital Management LLC, based in London, gained 8 percent in April, said the people, who asked not to be identified because the information is private. Sara Corsaro, an investor relations official at Andurand, didn’t respond to an e- mail and a phone message left today.
