Greece Drives Dromeus’ 26% Return

Jul 22 2014 | 1:14pm ET

Greece-focused hedge fund Dromeus Capital Management continues to cash in on its bet on the country, which is emerging from a massive debt and financial crisis that nearly forced it out of the euro.

Geneva-based Dromeus is up a further 26% this year, Bloomberg News reports, bringing its return since its October 2012 inception to an impressive 160%. Among the firm’s winners this year was the recapitalization of Greece’s Eurobank Ergasias.

The deal “will create significant value for shareholders,” Dromeus wrote to investors. “Whilst the Eurobank shares finished the quarter up 19% from the placing price, they remain a core holding for the fund as we believe there is further upside in the trade.”

Dromeus isn’t the only hedge fund profiting handsomely from the Greek recovery. Third Point’s Hellenic Recovery Fund—launched six months after Dromeus debuted—is up 12% this year and 34% since inception, and Greek bets have helped fuel Paulson & Co.’s global Recovery Fund, which is up 4.5% this year after returning 63% last year.


In Depth

GSAM's Papagiannis: Liquid Alternatives For The Long Run

Apr 21 2017 | 8:44pm ET

Interest in liquid alternatives cooled a bit last year amid a broad shift in investor...

Lifestyle

Aston Martin Returns To Debt Market As DB11 Drives Turnaround

Mar 31 2017 | 5:21pm ET

James Bond’s preferred carmaker is returning to the public debt markets for the...

Guest Contributor

Debunking Conventional Investment Wisdom (Part II)

Apr 17 2017 | 5:56pm ET

The alternative investment industry is currently replete with buzzwords around data...

 

From the current issue of