Still, the mega-winners this year offer some hope for investors and managers who believe the industry can produce “alpha,” or returns above the market’s “beta.”
The main fund managed by Robbins’ $11.7 billion Glenview Capital Management is up 21 percent so far this year, thanks to positions in health-care technology provider IQVIA Holdings, health insurer Anthem, and chemical manufacturer FMC Corp., according to a public disclosure of top stock holdings and a person familiar with the returns. Like others, the person requested anonymity to discuss private information about the fund.
Robbins, a New York-based billionaire, lost money for investors in both 2015 and 2016, according to a report by HSBC Alternative Investment Group.
Coleman and Laffont relied on technology companies to drive outsized gains.
The main fund managed by Coleman’s $20 billion Tiger Global Management gained 34.5 percent through October, due partly to investments in Chinese internet companies Alibaba and JD.com, a second person familiar with his performance said.
The main fund in Laffont’s $12 billion Coatue Management rose 29.3 percent, helped by positions in Facebook and Shopify, a third person said.
Coleman’s main hedge fund lost money in 2016, while Laffont’s produced a small positive return, according to media reports.
Other funds benefited from investments in emerging markets, people familiar with them said.
An Argentina-focused fund managed by $1.5 billion Bienville Capital Management gained 40.6 percent through October, while the oldest fund within $3.4 billion Toscafund Asset Management gained 28.8 percent, helped by bets on financial companies in Portugal, Spain, and Russia.
source : CNBC