Wednesday, 22 October 2014
Last updated 11 hours ago
Jan 17 2013 | 6:56am ET
LibreMax Capital put up a below-average December—but it was enough to push the New York-based hedge fund above 20% for the year.
LibreMax, whose assets soared to $2.4 billion from less than $1 billion last year, returned 20.8% last year, including 0.94% last month. The 2012 return is in line with big gains posted by other mortgage-focused hedge funds; the average mortgage fund rose 20.3% last year, according to Bloomberg News.
LibreMax, led by former Deutsche Bank traders including Greg Lippmann, put about half of its long portfolio into non-agency residential mortgage-backed securities through much of last year, and began buying commercial mortgage-backed securities, collateralized loan obligations and consumer asset-backed securities later in 2012. It also cut its exposure to subprime mortgages late last year.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...