The best performing hedge fund strategies of the year, Event Driven and Equity Long/Short, did no better than others as markets were thrown into turmoil once again in August. HFRX Equity Hedge Index was down 1.9 percent in the last month, whereas Event Driven Index was down 0.5 percent in the same period. EurekaHedge also posted decline in Long/Short Equity of -0.2 percent, however, Event Driven was up 0.9 percent.
The best of the hedge fund industry could not save themselves from losses in the period. Odey European was down 2 percent until August 14, however, the fund is still up 14.3 percent for the year. Odey Asset Management looks over $9.7 in assets, whereas the flagship fund manages $2 billion.
Elliott and Greenlight gain in August
One of the few hedge funds who managed to post a gain in August, most remarkably, is Paul Singer’s Elliott Management, which posted a 0.9 percent gain in the last month. We call it remarkable because most funds of this size detracted in this period. Elliott Associates LP manages $7.7 billion, the firm’s AUM is $22.4 billion.
David Einhorn’s Greenlight Capital was also up in August, and managed a +0.9 percent gain despite losses in several of its top positions. The fund is up a decent 11 percent for this year.
Take a look at the latest about Paul Singer’s position in Kabel Deutschland.
Egerton, Glenview, Pegasus lose in August
Egerton Capital’s European Equity Fund and European Dollar Fund both lost 3.2 percent in the last month, and the funds manage $934 million and $2 billion respectively. One of Europe’s largest hedge funds, Lansdowne Partners, was nearly flat through the first three weeks of the month. Lansdowne Developed Markets Fund, managed by Stuart Roden and Pete Davies, returned +0.03 percent for the month until August 23.
Another Long/Short equity hedge fund called Pegasus—which has done exceedingly well otherwise—was down 5 percent in August. For the year, returns are up a brilliant 41 percent. Ricky Sandler’s Eminence Fund lost 1.1 percent in August, and the fund is up 5 percent for the year and manages $3.4 billion.
Larry Robbins Glenview Capital, which has major stakes in J.C. Penney Company, Inc. (NYSE:JCP) and Health Management Associates Inc (NYSE:HMA), was down 0.81 percent in the last month. The $3.1 billion fund is up 30.6 percent YTD. Renaissance Institutional Equities was down 5.2 percent in the same period, trimming YTD gain to only 4.5 percent.
Event-driven funds lose in August
In the event-driven strategy, York Capital’s Multi Strategy hedge fund was down 0.8 percent, whereas York Credit Opportunities was down 0.2 percent. However, York European Opportunities and York Asian Opportunities Fund posted gains of 1.1 percent and 2 percent respectively. Pershing Square recorded a 3.5 percent decline in August, leaving it nearly flat at +0.09 percent for the year. Third Point Offhsore lost a 0.7 percent in August and is up 15 percent for the year, and Dan Loeb has marked a very successful year otherwise.