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Ray Dalio > Louis Bacon > PTJ > Andy Hall

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January's numbers are in and they are… not great. Especially for Andrew Hall of Phibro fame, who, if he is in fact God, is proving the almighty rather fallible.

Hedge funds held up better than stocks in January, falling an average of 0.1 percent as global equities slumped amid a selloff in emerging-market currencies and signs of weakness in China.

Bridgewater Associates LP’s Ray Dalio gained 1.1 percent as of Jan. 28 at his Pure Alpha II fund, according to a person familiar with the matter….

At Clint Carlson’s Carlson Capital, which is based in Dallas and manages $8 billion, the Double Black Diamond fund advanced 1.5 percent last month and the Black Diamond Relative Value Partners fund rose 2.1 percent, according to the person….

Among managers posting declines, Tudor Investment Corp., the $13.7 billion Greenwich, Connecticut-based macro firm run by Paul Tudor Jones, lost 2.1 percent last month in its Tudor BVI Global fund, said a person familiar with the matter.

Brevan Howard Capital Management LP, whose $40 billion in assets make it Europe’s largest closely held hedge-fund firm, posted a 1.6 percent decline in its emerging-markets hedge fund, run by Geraldine Sundstrom, according to a person familiar with the St. Helier, Jersey-based firm.

Moore Capital Management LLC, the $14.9 billion New York-based firm run by Louis Moore Bacon, fell 1.1 percent last month through Jan. 23 in its Moore Global Investments fund, according to a person familiar with the matter. Moore Macro Managers dropped 0.1 percent during the same period.

Andrew J. Hall, the oil trader whose $100 million compensation while at Citigroup Inc. ignited controversy in 2009 over pay packages at bailed-out banks, posted his commodity hedge fund’s biggest annual loss last year.

Astenbeck Capital Management LLC, the $3.5 billion fund company that is 80 percent owned by Hall and 20 percent by Occidental Petroleum Corp., lost 8.3 percent in its main fund, according to an investor letter obtained by Bloomberg News. That loss, the second in the six-year-old fund’s history, was extended in January with a 2.1 percent decline…

A former trader at BP Plc, Hall has been called “God” by competitors because of the prescient sense of oil market movements that he has used in the course of more than 30 years to reap billions for a number of different Phibro owners, according to the 2010 book “Oil” by Tom Bower.

Hedge Funds Lose Less Than Stocks in Month as Dalio Gains [Bloomberg]
Phibro's Hall Reports Largest Drop at Astenbeck Fund [Bloomberg]
These big hedge funds got crushed in January [NetNet]


Ray Dalio’s No. 2 Is Trying To Impeach Him

Things are more than a little awkward at Bridgewater Associates right now.

Louis Bacon Recruits Brother To Have Tough Conversations With Employees Re: The Fact That They No Longer Work At The Firm

One thing you may or may not know about hedge fund manager Louis Bacon is that he likes to keep his human interactions to a minimum. It's not a personal thing, just people in general thing. He doesn't like 'em and he doesn't want to talk to or look at 'em. For example, rather than taking five minutes to tell a subordinate he disagrees with a trade idea, Bacon has been known instead to "retreat to his office and place an opposing trade, a tactic known as 'fading' a colleague." Clients are treated similarly ("During meetings with...investors, Bacon, who often draws the blinds in his private office, frequently turns to his lieutenants to answer questions, often sitting silently through presentations") and if you thought that being, say the fruit of his loins meant special treatment, you were sorely mistaken ("One longtime assistant negotiates annual spending allowances with the elder of his children individually...Once they've agreed on the number, the assistant invites the child for a sit-down meeting with his or her father, during which Bacon usually signs off on the terms"). So it probably did not come as much of a surprise when LB hired his brother, the improbably named Zack Hampton Bacon III, to speak with a dozen or so members of the staff re: security waiting to escort them out of the building. Moore Capital Management LLC, the $15 billion hedge fund run by Louis Moore Bacon, cut 10 to 15 investment jobs as it restructures one of its equity teams, according to three people with knowledge of the matter. The portfolio managers and research analysts were let go on Sept. 11, said one of the people, who asked not to be identified because the information is private. Patrick Clifford, a spokesman for New York-based Moore, declined to comment. “Apart from a few hedge funds, it’s not that typical to see a large reduction in headcount in the industry,” said Ronen Schwartzman, founder of Ten Capital Advisors LLC, a New York- based firm that advises clients on investing in hedge funds. “Performance must be having an impact.” Bacon, 56, hired his older brother, Zack Hampton Bacon III, in February to oversee strategic planning, a person briefed on the matter said that month. Bacon told clients last month that he planned to return $2 billion, or about 25 percent of his main fund, to investors, saying it may be too big for him to generate returns in line with historic profits as “liquidity and opportunities have become more constrained.” On the bright side, no one was "sprayed in the face" with lead pellets, so not all bad. Moore Said to Reduce Positions Amid Equity Restructuring [Bloomberg] Related: Louis Bacon Has Better Things To Do Than Explain How Big An Idiot You Are

Bridgewater Associates Feeling A Bit Wildebeest-y

2015 has not been so kind to Ray Dalio's favorite fund.

Boaz Weinstein Kills it in May . . .

May was the worst month for hedge funds since October 2008. The HFRX Global Hedge Fund Index lost 2.6 percent. Don’t tell that to Boaz Weinstein. Yeah, he might have lost $1 billion at Deutsche Bank, but that’s old news. Boaz’s Saba Capital (Hebrew for grandfather) bucked the trend in May, up 1.6 percent for the month and 5.8 percent for the year.