Richard Perry is one of the hedge fund superstars. He co-founded Perry Capital in 1988, which has a record of generating positive returns in all years since then except for 2008. Perry is known as an event-driven investor. He looks for companies with restructuring opportunities such as spinoffs, or mergers and acquisitions.

Perry recently decided to hedge his long exposure by building a huge put position in Russell 2000 ETF. Here are the top 20 positions in Perry Capital’s 13F portfolio as of September 30, 2011:

Company Name Ticker Value Activity
ISHARES TRUST Put (IWM) 1038162 New
IRON MOUNTAIN (IRM) 142448 -29%
ANADARKO PETROLEUM (APC) 123578 145%
MOTOROLA MOB WI (MMI) 104380 New
BP PLC Call (BP) 90175 New
YAHOO INC Call (YHOO) 84683 12%
ISHARES TRUST Call (IWM) 82304 New
BP PLC (BP) 82095 New
UNIVERSAL AMERICAN SPIN (UAM) 77404 0%
YAHOO INC (YHOO) 67167 -59%
SOUTHERN UNION CO NEW (SUG) 61593 3%
ROYAL BANK SCOTLAND Cl 1 (RBS) 51263 7%
ROYAL BANK SCOTLAND Cl 2 (RBS) 44291 0%
ROYAL BANK SCOTLAND Cl 3 (RBS) 41446 13%
GENERAL MOTORS CO (GM) 40360 -64%
JOHNSON & JOHNSON (JNJ) 33659 0%
ANADARKO PETROLEUM Call (APC) 31525 New
ROYAL BANK SCOTLAND Cl 4 (RBS) 30076 0%
MEDCO HEALTH SOLUTIONS (MHS) 28017 New
N. AMERICAN ENERGY PTNRS (NOA) 26763 0%

Read full article here: http://seekingalpha.com/article/313338-hedge-fund-manager-richard-perry-s-top-stock-picks