While David Einhorn had a pretty good month, the same cannot be said about Dan Loeb. Loeb’s Third Point was down 0.7 percent in the month of August, compared to a loss of 2.9 percent for the S&P 500. However, for the year, the event driven hedge fund is up 15 percent, which is far better than most other hedge funds. In contrast, the S&P 500 is up 16 percent for the year.
Loeb’s most recent activist campaign has been BID, where he acquired a 5.7 percent stake. The stock was up 3.5 percent in August. Sony was likely a large detractor. The activist hedge fund has been building a massive stake in the Japanese company, which was down close to 6 percent in the month. Below is the Third Point August letter, which has just been released and obtained by ValueWalk.