As stocks struggled during much of 2010, bullish hedge-fund managers like John Paulson looked like naive optimists.
They got their revenge in September. Mr. Paulson, who racked up losses during the first eight months of the year and was criticized for an upbeat view on markets, enjoyed gains of about 12.5% in his biggest fund in September, according to an investor. Those returns trounced the 8.8% gain for the Standard & Poor's 500-stock index, its best September since 1939.
A number of hedge-fund investors have become more bullish in recent weeks. Some cite the ability of the euro to rally, ...
There is a recognition among some hedge funds that "buying a 10-year U.S. Treasury at only 2.50% leaves little room for appreciation and plenty of risk to the downside," says Alan Zafran, co-founder of Luminous Capital, a Los Angeles-based investment adviser that invests in hedge funds. "Our managers have been increasing their equity exposure, particularly in large-cap, global franchises with high earnings yields" such as Coca Cola Co., Johnson & Johnson and Microsoft Corp., Mr. Zafran says.
http://online.wsj.com/article/SB10001424052748704380504575530394039883672.html?mod=googlenews_wsj
Just in case you are unaware of the "fact" who is running "the show"...
They got their revenge in September. Mr. Paulson, who racked up losses during the first eight months of the year and was criticized for an upbeat view on markets, enjoyed gains of about 12.5% in his biggest fund in September, according to an investor. Those returns trounced the 8.8% gain for the Standard & Poor's 500-stock index, its best September since 1939.
A number of hedge-fund investors have become more bullish in recent weeks. Some cite the ability of the euro to rally, ...
There is a recognition among some hedge funds that "buying a 10-year U.S. Treasury at only 2.50% leaves little room for appreciation and plenty of risk to the downside," says Alan Zafran, co-founder of Luminous Capital, a Los Angeles-based investment adviser that invests in hedge funds. "Our managers have been increasing their equity exposure, particularly in large-cap, global franchises with high earnings yields" such as Coca Cola Co., Johnson & Johnson and Microsoft Corp., Mr. Zafran says.
http://online.wsj.com/article/SB10001424052748704380504575530394039883672.html?mod=googlenews_wsj
Just in case you are unaware of the "fact" who is running "the show"...
(Underperforming S&P so far Q4) lets see how Q4 ends.