Senin, 07 Maret 2016

Top Performing Hedge Funds Of 2015

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BOOK FEATURE - Capital Returns: Investing Through the Capital Cycle - This capital cycle strategy encourages investors to eschew the simple ‘growth’ and ‘value’ dichotomy and identify firms that can deliver superior returns either because capital has been taken out of an industry, or because the business has strong barriers to entry (what Warren Buffett refers to as a ‘moat’).
Top performing “big” ($1bn+ in AUM) hedge funds of 2015. Melvin Capital the big standout here. Full list here [link]
How to think about Fifth Street Senior Floating Rate - the activist targeted closed-end, non-diversified investment company. Ironsides Partners is invested at a cost of $8.30, and have nominated two candidates for the board and proposed that the company end its investment advisory agreement with Fifth Street Management. The stock is down 35% since its July 2013 IPO. Its paid $20 million to Fifth St. Management over that time. Now, Ironsides is not an activist. FSM is an external investment advisor that owns very little stock in FSFR; as such, it earns its fee on asset levels, which may or may not increase shareholder value. Since FSFR’s IPO, its common stock has declined precipitously while the external manager has been handsomely paid. Three of FSFR’s seven board members have senior management positions with the parent company of FSM, and FSM has a similar arrangement with another company, Fifth Street Finance Corp. FSFR shareholder RiverNorth Capital Management is also a shareholder of FSC, where it recently filed a similar 13D but then entered into a buyout agreement with FSC that included a large cash payment to RiverNorth on RiverNorth’s agreement to, among other things, vote its FSFR shares in favor of management. This is very detrimental to Ironsides’ campaign, as RiverNorth would otherwise have been an obvious ally of Ironsides in its campaign to change FSFR. Moreover, since FSFR has a staggered board, it will be very difficult for Ironsides to effect real change. Sign up for activist strategy to learn more and get similar insights and ideas [link]
Where to find value in biotech this year - Q&A with Joseph Edelman of Perceptive Advisors. Says that excessive fear in the biotechnology space this year is creating buying opportunities. His firm's $1.5 billion Perceptive Life Sciences fund gained 52% last year. Full Q&A here [link]
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