Fake Trees Hurt Paulson And Co's Flagship Fund In June


Bloomberg reports the Advantage Plus Fund, Paulson's flagship, lost 11 percent in June thanks to Sino-Forrest.

The drop left Paulson’s Advantage Plus Fund, which uses strategies designed to profit from corporate events such as takeovers and bankruptcies, down 18 percent this year, said the client, who asked not to be named because the information is private...Paulson’s dollar-denominated Advantage Fund, which employs
a similar strategy to Advantage Plus, dropped 7.3 percent last month and 12 percent this year...The firm’s Gold Fund, which can buy derivatives and other gold-related investments, fell 8.6 percent in June, leaving it down 7.9 percent for the year. The Paulson Partners Enhanced Fund, which invests in the shares of merging companies, decreased 4.7 percent last month and gained 6.1 percent in 2011. The gold share class declined
5.8 percent in June and advanced 8.9 percent this year.

Paulson’s Credit Opportunities Fund declined 2.7 percent last month and climbed 5 percent in 2011. Its gold shares lost 3.9 percent in June and gained 7.9 percent this year.

Paulson’s Main Fund Said to Lose 11% in June on Sino-Forest Sale [Bloomberg]


Paulson And Co To Provide Monthly 'My Bad'

Which is pretty nice of him. John Paulson, the billionaire hedge- fund manager seeking to reverse record losses in 2011, lost 6.7 percent last month in one of his largest funds as gold-mining stocks dropped, said two people briefed on the returns. The decline leaves Advantage Plus, which seeks to profit from corporate events such as takeovers and bankruptcies and uses leverage to amplify returns, down 8.8 percent this year, said the people...Paulson & Co. will now send a “brief commentary” along with its monthly performance estimates to investors, Paulson said in the letter. He is seeking to reverse 2011 losses from an ill-timed bet on an economic recovery, which caused him to scale back risk before stock markets started to rally late in the year. About 20 percent of Paulson’s investor base is currently underwater on the fund holdings, one of the people said. Paulson Hedge Fund Said to Extend Slump With April Loss [Bloomberg]