Och-Ziff's Levin Turns $2 Billion Profit On Structured Credit Trade

Apr 12 2013 | 10:41am ET

The laurels for biggest hedge fund trade of 2012 appear to belong to Och-Ziff Capital Management's James Levin.

Levin bet $7.5 billion—more than a quarter of the New York-based hedge fund's assets—on structured credit last year, and turned a nearly $2 billion profit on it, The Wall Street Journal reports. Levin's returns accounted for more than half of Och-Ziff's $3.4 billion in trading gains last year.

"It's not a one-man show, but we think he's a star," the New Jersey Division of Investments' Timothy Walsh told the Journal.

While a number of hedge funds made big returns on structured credit last year, few if any made as big or as risky a bet as Levin, who did less hedging than others.

Och-Ziff still has 24% of its assets invested in structured credit.


In Depth

Q&A: TCA Fund Management's Bob Press on Small-Cap Private Equity

Aug 25 2016 | 8:55pm ET

The emergence of private credit as a replacement for traditional bank financing...

Lifestyle

Kiawah: Island Reversal

Aug 24 2016 | 9:59pm ET

Looking for real estate investments but the typical real estate fare isn’t cutting...

Guest Contributor

Old Hill Partners: Embrace Illiquidity

Aug 9 2016 | 2:39pm ET

The age-old financial concept that higher yields are the result of higher risk and...