Oil and Gas Explorers are a new hedge fund favorite (well sort of)… While Odey Asset Management has a knack of betting rightly against several companies, we are not sure whether the timing of its latest short in Admiral Group plc (LON:ADM), a UK based auto insurer, was motivated by a bear case or was an attempt to cash into the ex-dividend drawdown, or both. The fund disclosed a 0.5 percent short position in Admiral Group plc (LON:ADM) on April 29, the company paid out dividend on May 1 and as a result has lost some 6.8 percent in value since. Whatever the case is for Odey’s short, the fund is so far gaining on the position. Admiral Group plc (LON:ADM) is also not a unique position, Steadfast Capital, AQR and Eminence Capital also hold a short in the same stock. Odey Asset Management’s flagship Odey European continues to be a star performer for the year so far with a +15 percent return in Q1.
To see the full list of active short positions, visit hedge fund short positions page.
Oil and Gas Explorers: Favorite shorts
Lansdowne Partners has been consistently increasing shorts in Ophir Energy Plc (LON:OPHR) which is now up to 2.71 percent of the oil and gas explorer. The shares are down 20 percent for the year so far. Take a look at Lansdowne’s winning shorts in other equities with a portfolio weight of $4 billion. Shorts in oil and gas explorers, such as Enquest Plc (LON:ENQ), Petrofac Limited (LON:PFC), Lamprell Plc (LON:LAM), BowLeven PLC (LON:BLVN) , Ruspetro PLC (LON:RPO), are frequently seen in disclosures from UK.
TT International Oil and Gas Explorers shorts
TT International, a multi strategy hedge fund up 3.9 percent in Q1, has opened several new shorts in the past few weeks. The fund has most recently bet against Petropavlovsk PLC (OTCMKTS:PPLKY) (LON:POG). The Russian based gold producer has been a target of several bearish bets, and TT’s bet comes after the company had already lost over 57 percent in maket value YTD. TT is holding 0.9 percent of Petropavlovsk PLC (OTCMKTS:PPLKY) (LON:POG)’s shares short. The reasons for the gold miner’s losses are obvious, and the bulk of the decline was incurred in the last two months.
The other new short bets from TT International are in Lonmin Plc (OTCMKTS:LNMIY) (LON:LMI), again a precious metal refiner/miner. We have mentioned earlier that TT initiated a short in African Barrick Gold PLC (LON:ABG). The fund also initiated a short in BowLeven PLC (LON:BLVN), which is an oil and gas explorer with mining operations in Africa.