TCI Bets Against Japan’s Biggest Companies

Apr 6 2009 | 2:04am ET

Just months after abandoning a highly-publicized activist battle in Japan, The Children’s Investment Fund is switching strategies in the country.

The London-based hedge fund has reported about US$1.2 billion in short positions in Japanese stocks, including some of the country’s biggest names, Bloomberg News reports. According to the filings, required under the short-selling restrictions Japan imposed in October alongside the world’s other major financial powers, TCI is shorting 13 Japanese stocks.

Among the companies TCI is betting against are Toshiba Corp. (4.2% short interest), Sharp Corp. (1.5% short interest), Mizuho Financial (0.9% short interest), Sony Corp. (0.7% short interest), Mitsubishi Heavy Industries (0.6% short interest), Olympus Corp. (0.3% short interest) and Bridgestone Corp. (0.2% short interest).

Last year, TCI lost a proxy battle with Electric Power Development Co., Japan’s largest electric utility. The hedge fund took a US$130 million loss in October when it dumped its stake in the company, better known as J-Power.

All told, TCI posted a 43% loss last year.


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.