Appaloosa Bets On Banks In Q4 2010

Feb 15 2011 | 8:26am ET

Appaloosa Management, David Tepper’s New Jersey-based hedge fund, is bullish on banks, according to a recent filing with the Securities and Exchange Commission.

The fund now holds stakes worth a combined $1.23 billion in the four biggest U.S. banks, having increased its holdings in the fourth quarter.

Appaloosa more than doubled its Citigroup stake to over 117 million shares (worth $576.9 million at Monday’s closing price.

The fund acquired a $25.2 million stake in J.P. Morgan Chase while upping its Bank of America stake 12% to 25.1 million shares worth $373.3 million. Appaloosa increased its Wells Fargo stake to 7.5 million common shares (from 6.4 million) and 335,482 preferred shares (from 292,019). The common stake would be worth $252.7 million at Monday’s closing price.

Appaloosa increased its SunTrust Banks holding by 8.9% to 4.2 million shares valued at $135.6 million and reported a small increase in its holdings in American Depositary Receipts of Spain's Banco Santander.

The fund reduced its Fifth Third Bancorp holdings by 8.4% to 9.5 million shares (value: $146.8 million) and cut its Capital One Financial common shares to 1.03 million ($54.1 million) from 1.43 million.

Tepper’s fund focuses on distressed debt and manages around $16 billion.


In Depth

Israeli Hedge Fund Harnesses Big Data

Jul 28 2014 | 8:10am ET

Apica Green is a multi-million dollar Israeli hedge fund that is based in Tel Aviv...

Lifestyle

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Guest Contributor

Why Is The Shipping Industry Underwater?

Jul 31 2014 | 7:31am ET

Anyone who’s taken a look at the global shipping industry recently probably knows...

 

Sponsored Content

    Northern Trust Helps Hedge Funds Navigate Derivatives Regulations

    Jul 8 2014 | 10:48am ET

    The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…

Publisher's Note