Futuristic Eskimo
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Everyone with a curve flattener trade on is feeling the pain right now
Boiler Room: The Official Stock Market Discussion
Futuristic Eskimo
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One of John Paulson's Hedge Funds Crashed 70% Over the Last Four Years
By
Hema Parmar
and
Katherine Burton
January 9, 2018, 12:12 PM EST
John Paulson Photographer: Jin Lee/Bloomberg
One of John Paulson’s hedge funds has plunged about 70 percent over the past four years, marking a dire stretch for the billionaire plagued with investor redemptions.
The Paulson Partners Enhanced fund, which uses borrowed money to double down on its trades, sank 35 percent last year and about 49 percent in 2016, according to a person familiar with the matter. That caps a four-year money-losing run for the fund, which follows a merger arbitrage strategy on which Paulson founded his firm.
The performance marks yet another setback for Paulson, whose claim to fame was his bet a decade ago that the U.S. housing market would collapse. But his Paulson & Co. has failed to keep up such money-making wagers and instead shuttered a fund last year and made wrong-way trades on gold, U.S. banks and drugs stocks.
Investors lost patience. The firm’s assets nosedived from a 2011 peak of $38 billion, when clients contributed about half the capital. Now the firm runs about $9 billion, and roughly 80 percent of that is Paulson’s own money.
Investors who stuck it out in his oldest fund, Paulson Partners, lost about 42 percent of their capital over the past four years. The last two years have been the roughest: a 17 percent loss in 2017 and about a 25 percent drop the year before.
Bad Pharma Bets
cut its stake in Teva Pharmaceutical Industries Ltd. by 60 percent. The stock had lost more than 50 percent in the first nine months of the year.
Some of Paulson’s other pools are doing better. Its largest -- Paulson Credit Opportunities fund -- gained 11 percent last year. And the Pure Spread fund, which makes less volatile merger-related investments by only betting on announced deals, rose 12 percent. The firm’s European Event Equities fund returned 8 percent last year.
A spokesman for the New York-based firm declined to comment.
What the fukk has this guy been doing?
By
Hema Parmar
and
Katherine Burton
January 9, 2018, 12:12 PM EST
- Billionaire’s other arbitrage fund is said to drop 42%
- Paulson & Co.’s assets under management falls to $9 billion
John Paulson Photographer: Jin Lee/Bloomberg
One of John Paulson’s hedge funds has plunged about 70 percent over the past four years, marking a dire stretch for the billionaire plagued with investor redemptions.
The Paulson Partners Enhanced fund, which uses borrowed money to double down on its trades, sank 35 percent last year and about 49 percent in 2016, according to a person familiar with the matter. That caps a four-year money-losing run for the fund, which follows a merger arbitrage strategy on which Paulson founded his firm.
The performance marks yet another setback for Paulson, whose claim to fame was his bet a decade ago that the U.S. housing market would collapse. But his Paulson & Co. has failed to keep up such money-making wagers and instead shuttered a fund last year and made wrong-way trades on gold, U.S. banks and drugs stocks.
Investors lost patience. The firm’s assets nosedived from a 2011 peak of $38 billion, when clients contributed about half the capital. Now the firm runs about $9 billion, and roughly 80 percent of that is Paulson’s own money.
Investors who stuck it out in his oldest fund, Paulson Partners, lost about 42 percent of their capital over the past four years. The last two years have been the roughest: a 17 percent loss in 2017 and about a 25 percent drop the year before.
Bad Pharma Bets
cut its stake in Teva Pharmaceutical Industries Ltd. by 60 percent. The stock had lost more than 50 percent in the first nine months of the year.
Some of Paulson’s other pools are doing better. Its largest -- Paulson Credit Opportunities fund -- gained 11 percent last year. And the Pure Spread fund, which makes less volatile merger-related investments by only betting on announced deals, rose 12 percent. The firm’s European Event Equities fund returned 8 percent last year.
A spokesman for the New York-based firm declined to comment.
What the fukk has this guy been doing?
Domingo Halliburton
Handmade in USA
GoPro hired JPM to sell itself. Should be a case study on the destruction of shareholder of wealth. Someone bought this at $80
GPRO needs to get on the crypto wave:
"Kodak is today announcing a partnership with Wenn Digital to create a "photo-centric cryptocurrency" that will "empower photographers and agencies to take greater control in image rights management." Because why not. It's 2018.
The company's stock jumped 44% on the news and is currently trading at $4.30, up 37.60 on the day."
Domingo Halliburton
Handmade in USA
One of John Paulson's Hedge Funds Crashed 70% Over the Last Four Years
By
Hema Parmar
and
Katherine Burton
January 9, 2018, 12:12 PM EST
- Billionaire’s other arbitrage fund is said to drop 42%
- Paulson & Co.’s assets under management falls to $9 billion
What the fukk has this guy been doing?
Sounds like it's time to convert to a family office. His "shorting the housing market" trade that made him famous was ripe with fraud as well. I knew his funds couldn't be doing well when he kept doubling down on gold waiting for inflation that never came.
Domingo Halliburton
Handmade in USA
The hell is PFE up to?
Last edited:
Perfectson
Banned
MCIG hit .33, after a .23 call , so .10c increase or ~50%
@Macallik86
SVXY is up 10% from my entry point , shooting for 30%-40%
You like black berry a lot? Im thinking about buying and holding
BB(RY) just hit 14.50, i'm sure it's due for a pull back but i'm holding forever!
Futuristic Eskimo
All Star
Im going to buy Kodak premarket tomorrow to gamble. I actually like the block chain business plan they presented.
Futuristic Eskimo
All Star
China reviewing its treasury purchases. Should introduce some vol into markets.
Not saying it will happen but my perspective the markets are overextended and due for a correction which may bring some uncertainty in the market depending on the type of pullback. Markets are lower in the premarket currently by about 0.3%.
On an unrelated note, looking to put a February/March $116 Calendar spread on IBB. Bullish speculative play but I sure would like to own an outright position on IBB if it starts running. I think that it will likely hit $116 prior to February though but I am usually a directional trader so I do tend to have a bias.
Perfectson
Banned
If so I intend on doing two things buying back the short month which will be itm. I would then look to add a new lower short month .
I would also try to put a 2nd one on with wider spreads . Unless there is an economic downtown there should be a level off . I'm making 25% monthly
Futuristic Eskimo
All Star
Was hoping for another one like when that piece of shyt LFIN went up 2200% in 3 days. This crypto stuff is madness.Opened up almost 90%
Futuristic Eskimo
All Star
Domingo Halliburton
Handmade in USA
Vix call volume probably set some record today. Lots of "buying protection." However the put/call ratio is only like .31 which isn't that high.