Hedge fund winners and losers
Lists of hedge fund winners and losers tend to crop up around now, as the full-year data becomes available. Some previous lists only included data for part of the year, allowing for a lot of variation. The latest to come out is from HSBC Private Bank, which just released its list of the Top 20 performing funds.
Mortgage funds fared well. BTG Pactual's small Distressed Mortgage Fund, which invests primarily in distressed non-agency RMBS, generated a return of 46 percent for the year, putting it at the top of the list. For the sake of comparison, the average hedge fund gained only 6 percent last year, as noted by Reuters.
In notes that,
Rounding out HSBC's Top 5 performers for 2012 were Josh Birnbaum's $955 million Tilden Park Offshore Investment Fund, which returned about 41 percent; the $473 million Brookfield Global Real Estate Securities, returning 40 percent; a $1.5 billion CQS directional fund, which gained 36 percent; and Pine River's $3.5 billion Fixed Income Fund, which rose about 35 percent. Some of the industry's best known managers made it into the Top 20, including Daniel Loeb's Third Point Ultra Fund, which finished up the year with returns of about 35 percent, and David Tepper's Palomino Fund, which rose more than 29 percent last year. Bill Ackman protege Mick McGuire also saw his Marcato International Fund in the Top 20, with gains of almost 20 percent. BTG Pactual and Pine River both had two different funds in the Top 20.
And the best-known of the losers in 2012?
"John Paulson, once again, had at least two funds at the bottom of the HSBC pile at year-end. His Advantage Fund sank roughly 14 percent in 2012, and the levered version of that fund sank 21.5 percent. Those results come on top of Paulson's massive losses in 2011, when the Advantage Plus fund famously lost more than 50 percent, putting the New York based investor at the top of HSBC's loser list."
- here's the article