This content is from: Portfolio

The Morning Brief: More Losses at Brevan Howard, Caxton and Tudor

Most of the major macro funds have extended their losses this month. Alan Howard’s BH Macro fund is off another 1 percent this month through April 25, bringing its loss for the year to 3.79 percent. Andrew Law’s Caxton Global Investment was down 1.50 percent for the month, through April 22, and is off 3.94 percent for the year. Paul Tudor Jones II’s Tudor BVI is down 0.37 percent for the month through April 17, and 3.85 percent for the year.

Sandell Asset Management disclosed it owns 5.2 percent of Meritor, a supplier of parts for commercial vehicle and industrial markets. The New York hedge fund, which sometimes takes activist positions, disclosed the stake in a 13G filing, meaning it is intended as a passive investment. Sandell is currently embroiled in a proxy fight with Bob Evans Farms. The hedge fund recently announced its slate of eight candidates for the restaurant company’s board of directors.

Tiger Global Management disclosed it took a 9.5 percent stake in Zillow, the online real estate brokerage. The passive filing was dated April 21.

Lone Pine Capital disclosed a 5.6 percent stake in Equinix, a popular hedge fund stock for the past few years. The passive 13G filing was made on April 17. The company manages data centers.

One day after Herbalife reported its strong first quarter results, Barclays repeated its highest rating on the stock and its $94 target price. Noting that the outcome of the current Federal Trade Commission investigation is far from reaching any conclusions, the investment bank tells clients in a note that its conversation with the multi-level marketer of nutrition products indicate they are confident that at some point there will be a real end to the probe, “since the regulator is expected to provide a closeout letter even if it makes no other demands on the company following the investigation.” Barclays also confidently says the individual states that are conducting their own investigations of Herbalife do not have to follow the FTC outcome, adding, “we think it likely that many will.” Shares of Herbalife jumped 2.21 percent Tuesday to close at $60.15.

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