The Investors Gaining From Coronavirus
It’s been a brutal couple of quarters. We’ve all been taken for a ride, not least the institutional investors who promised clients protection from market turmoil. We’ve heard of hedge fund managers skimming fees and getting paid despite underperformance, but some managers really did better the averages this time. Let’s meet them!
First up, Bill Ackman of Pershing Square. This dude has close to $8 billion dollars under management and is famous for his television rants. There’s also a film about his activist warfare investing approach on Netflix. He made one hundred times his money on market hedges against a worsening epidemic in February, truly thinking a step ahead.
Next, Crispin Odey of Odey Capital Management. This is Europe’s most famous and outspoken hedge fund manager. He doesn’t mince his words when making market bets and loves playing the contrarian on the grandest scale possible. This time, he shorted American shale and went long the tankers needed to store surplus crude. His fund made its biggest quarterly haul in decades, around 20%. Odey, Odey, Odey, oil, oil, oil!
It’s time to up the ante a bit, let’s see da real money! The bond markets have been pretty lively recently, so step forward Chenavari’s Credit Cycle Management Fund. The fund bets against bad debt that needs just a small prod to default. This virus represented quite a large prod, so the Credit Cycle Management Fund made a whopping 174% in March!
We’ll be releasing a special blog soon on the gold medal-winning investor during this coronavirus era. The gains are next level, but what’s amazing is that we still have 14 members of the Invstr community doing better than Ackman, Odey, and Chenavari.
These folks have risen to the top of the Fantasy League by getting creative amid topsy-turvy stock market trends and giving up nothing to this pandemic. Here’s to you, and now a fast rebound back to all-time-highs!