Odey Cuts Back On Stocks After Big October Loss

Nov 20 2009 | 9:14am ET

Odey Asset Management has sharply reduced its equity exposure after a brutal October.

The London-based hedge fund’s flagship European fund plummeted 10.1% last month amidst the market volatility, Financial News reports.

“October proved to be painful,” firm namesake Crispin Odey wrote to investors. “We witnessed the first correction in markets since June.”

“Despite taking out banking exposure down after June, we were not spared,” he added.

The fund moved heavily into financial services this year after long shorting the sector. And despite October’s big decline, the fund remains up 34% on the year, far ahead of the average hedge fund, according to most industry indices.

“We used the decline as a dress rehearsal for an aggressive change of tack in our portfolio and ended the month with nearly half the net exposure to equities that we had at the beginning,” Odey wrote.


In Depth

Steinbrugge: Top 10 Hedge Fund Industry Trends for 2017

Jan 3 2017 | 9:03pm ET

Each year, Agecroft Partners' Don Steinbrugge predicts the top hedge fund industry...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

DarcMatter: The Top Trends in Alternative Investments for 2017

Jan 13 2017 | 8:22pm ET

The $7 trillion alternative investments industry is poised for continued growth...

 

From the current issue of

The U.S. Commodity Futures Trading Commission (CFTC) ordered The Goldman Sachs Group Inc., and Goldman, Sachs & Co. to pay a $120 million penalty for attempted manipulation and false reporting of ISDAFIX Benchmark Rates, a global benchmark for interest rate products.