• 23 Nov 2010 at 11:41 AM

Diamondback Capital Has Done Right By Its Clients

By Bess Levin

Anyone thinking of making any sudden moves should remember this.

Diamondback Capital Management LLC, one of three hedge funds raided by Federal Bureau of Investigation agents, returned three times as much as peers since being founded in 2005, according to an investor letter. Diamondback gained 73 percent from mid-2005 through July this year, compared with 22 percent for funds with a similar approach, as tracked by Chicago-based Hedge Fund Research Inc.

Even more comforting is this:

Diamondback, which manages about $5.8 billion, has returned about 6.3 percent this year and 23 percent last year, compared with gains of 12 percent and 25 percent, respectively, for multistrategy funds.

Do those look like returns a fund that’s up to no good? Not so much.

FBI Target Diamondback Beat Peers [Bloomberg]

Comments (11)

  1. 1
    Posted by tits | November 23, 2010 at 5:19 PM

    Ping is at 100%+ what’s their excuse? Tips not hot enough? I suggest ointment for the burning sensation.

  2. 2
    Posted by Anonymous | November 23, 2010 at 5:20 PM

    Because fraudsters never have low y/o/y returns…

    -B. Madoff

  3. 3
    Posted by Sonja Kohn | November 23, 2010 at 5:24 PM

    bad conclusion, Bess. I remember Schimel, Sapanski and Loweth telling me during an interview in ’08 ‘we’ve only had 2 down months since inception and they total -2%…’ Even BM would be proud of those nums….

  4. 4
    Posted by Mitch Cumstein | November 23, 2010 at 5:24 PM

    I’ll tell you what. You think you’re a big shot? You think you can do any better? Oh, so bad fucking ass! So cool! The machismo!

    Why don’t you take your stinkin’ $33,000 and go find another fucking manager.

    Get fucked,

    Lawrence Sapanski

  5. 5
    Posted by xel | November 23, 2010 at 5:26 PM

    all marker tips are warmed up to +100F before insertion.

    - Ping Quantitative Research

  6. 6
    Posted by Guest | November 23, 2010 at 5:44 PM

    Is this the Harry Markopoulis list coming to fruition?

  7. 7
    Posted by Super Gay Ronaldo | November 23, 2010 at 5:48 PM

    Loweth mysteriously left the firm in April? Maybe he was kicked out because of this whole insider thing. When I met with larry his reasoning was that “loweth didn’t provide any benefit tot the firm”

  8. 8
    Posted by Not madoff | November 23, 2010 at 5:49 PM

    bernie only wishes he could have made up numbers that were as good as those

  9. 9
    Posted by Seaman Bodine | November 23, 2010 at 5:56 PM

    You should know that sell side flow (which is the real problem here, not hedge funds) is mostly shit anyways; it used to be better cause there were less funds, so less salesmen making shit up…now, three hundred guys cover diamond back between GS and JPM, and 200 of them are guessing at all kinds of rumors, passing it over to these doucheniks, etc. Can’t wait for the feds to raid GS.

  10. 10
    Posted by Self-Reporting Bias | November 23, 2010 at 7:25 PM

    Comparative statistics from Hedge Fund Research are rock solid.

  11. 11
    Posted by National Ass'n of Realtors | November 23, 2010 at 7:30 PM

    What do you mean? Anyway, there has never been a better time to buy a home!

Leave a comment

You can log in with your account or comment as a guest below.

   or