Paulson Falls In April

May 9 2012 | 9:57am ET

Paulson & Co.'s promising start to the year has not—yet—augured a return to form for the battered hedge fund.

Paulson's Advantage Plus fund, which lost 52% last year, lost a further 6.7% in April, Bloomberg News reports. The fund, which was hit by declines in its gold-mining stocks, is now down 8.8% on the year.

Advantage Plus actually rose 5% in January. The fund has lost ground in the three months since.

Advantage, the unlevered version of Advantage Plus, fell 5% last month and is down 6% on the year.

"Over the last 12 months there's been a disconnect between buyers of gold bullion, like central banks who are strategic long-term holders of gold, and the buyers of gold equities, who may believe gold prices will fall in the short term," Paulson wrote to investors in the first of what he promised would be a monthly "commentary" on performance. "This disconnect has caused a large discrepancy between the gold spot price and the implied valuation of gold through gold equities."

Still, Paulson said, its funds are up 1.7% for the year on average. It's Recovery Fund is up 8% through April after losing 1.4% last month. Paulson Enhanced is up 12% despite a 0.9% drop in April, and Credit Opportunities is up 4.2% after dropping 0.7% last month.


In Depth

Q&A: High Conviction, Low Correlation

Oct 30 2014 | 7:35am ET

Acadian Asset Management's numbers are big: over $70 billion in assets under management...

Lifestyle

Ex-Hedgie Steyer Gives $56M To Climate Action Super PAC

Oct 28 2014 | 9:23am ET

Retired Farallon Capital founder Tom Steyer has poured almost $56 million into his...

Guest Contributor

Hedge Funds Weather A Data Management Perfect Storm

Oct 22 2014 | 12:28pm ET

From a regulatory standpoint, nearly every development since the crisis has placed...

 

Videos

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

October 2014 Cover

Demeter: Family affair

David and James Hamman launched their fundamental Livestock and Grains Program in March of 2010 but it really was decades in the making.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.