May 22, 2024
Funds

Bridgewater’s Flagship Macro Fund Lost 7.6% Last Year


(Bloomberg) — Bridgewater Associates’s flagship hedge fund lost 7.6% last year, with all of the drop coming in the last two months of 2023, according to people familiar with its performance.

Most Read from Bloomberg

The losses for the world’s biggest hedge fund corresponded to the biggest two-month gain in global bonds since at least 1990 and a roughly 14% gain in US shares.

The Pure Alpha II fund was up 7.5% through October before dropping about 14% in the following two months.

The firm’s long-only All Weather fund returned 10.6% last year, one of the people said.

A Bridgewater spokesperson declined to comment.

This marked the second-straight instance that Bridgewater’s flagship fund gave up gains at year-end. Pure Alpha II tumbled in October and November 2022 after having been up 22%. It ended that year up 9.4%.

Read More: Bridgewater CEO’s Past Office Romance Led to Favoritism Claims

Last year’s market moves produced a wide range of returns for macro managers. Rob Citrone’s Discovery Capital Management made 48%, while Said Haidar’s macro fund fell about 50% through November.

Tekmerion Capital Management, another macro fund, gained 9.8% last year. The firm, run by former Bridgewater employees, won a case against their former employer in 2020, after the hedge fund giant accused them of misappropriating trade secrets, breach of contract and unfair competition.

Here’s a look at 2023 returns for other hedge funds:

(Adds other macro fund performance starting in seventh paragraph. An earlier version corrected Schonfeld fund name in the chart.)

Most Read from Bloomberg Businessweek

©2024 Bloomberg L.P.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *