Moore, Paulson, SAC Suffer In May

Jun 9 2010 | 12:37pm ET

Some of the biggest names in the hedge fund industry took a pounding in May, the worst month for hedge funds in a year-and-a-half.

While the average hedge fund fell between 2% and 3%, according to most industry indices, Moore Capital Management’s flagship lost 9.2%. That wipes out Moore Global Investments’ year-to-date gains, leaving it down 6.4% on the year, according to The Wall Street Journal.

While Moore chief Louis Bacon’s pain was most acute—Moore did even worse than the Standard & Poor’s 500 Index, which lost less than 8% during the volatile month—he was not alone in suffering. Third Point dropped 5.6% on the month, although Daniel Loeb can console himself with the fact that his fund is up 12.6% on the year.

Not so John Paulson, whose Paulson & Co. fell 4.9% in the month to drag it into the red, down 1.3% through May.

SAC Capital Advisors also fell in May, losing a more representative 2.3% and remaining up 5% on the year.

According to the Journal, Bacon, who in April blasted European efforts to keep Greece from defaulting on its sovereign debt, has since changed his tune. Unusually, it was his own trades that made up the bulk of Moore’s losses in May.


In Depth

Delayed Flash Crash Arrest Highlights Difficulties Detecting Fraud

Apr 23 2015 | 7:19am ET

The five years it took regulators to bring high-profile charges against a UK trader...

Lifestyle

Puerto Rico Woos The Rich But So Far Gains Little

Apr 17 2015 | 2:45am ET

Hedge fund manager Rob Rill grins. He has just had word that U.S. financial regulators...

Guest Contributor

Opportunities Ahead: Asian Fixed Income and Currency Markets

Apr 24 2015 | 6:18am ET

For hedge funds focusing on Asia, the policy uncertainty, unclear interest rate...

 

Editor's Note