Anthony Scaramucci moves $290M to three major hedge funds amid rough 2020

After a brutal start to 2020, hedge fund manager and ex-White House communications director Anthony Scaramucci is turning to the big boys...



After a brutal start to 2020, hedge fund manager and ex-White House communications director Anthony Scaramucci is turning to the big boys for help.

In a letter to investors obtained by The Post — to be released Monday night — Scaramucci has told investors of his $9 billion fund-of-funds, Skybridge Capital, that he’s allocating $290 million to three of the biggest names in the industry — Howard Marks of Oaktree Capital, Daniel Loeb of Third Point and Ray Dalio of Bridgewater — following losses of 22.5 percent.

Scaramucci, known popularly as “The Mooch,” normally stays away from multi-billion funds in favor of smaller names. But in light of recent losses that have resulted in redemption requests totaling 9.3 percent of the fund, he is changing his usual game plan, he said.

“As Mike Tyson famously said, ‘everyone has a plan until they get punched in the face,’” the letter said. “To this end, modern portfolio theory represents the best defense against unknown unknowns.”

That new reallocation required SkyBridge to sell out of investments in two funds that led to a disastrous March: EJF and Hildene, the letter said. Scaramucci has instead invested $100 million in Dalio’s Bridgewater Associates, $100 million Mark’s Oaktree Capital, and $90 million in Loeb’s Third Point.

“These large, well-known managers have built their track records by capitalizing on substantial market dislocations,” Scaramucci writes to his investors, “and we are excited to add them to [our] portfolio.”

Oaktree’s reported a loss of 7 percent at the end of March, according to SEC filings, and Loeb’s Third Point fell 16 percent in the same period. Dalio‘s flagship fund, meanwhile, reported a 20 percent hit in the early weeks of the market downturn — the opposite of calls leading up to the 2008 financial crisis that helped springboard his fund manage $160 billion, making it the biggest in the world.

“It might keep redemptions down to tell people that Ray Dalio is handling their money, but even Ray Dalio isn’t Ray Dalio anymore,” one hedge fund investor noted.

But Scaramucci, in a footnote, suggests the move is already helping.

“A number of investors have inquired as to whether they can rescind redemptions submitted in April,” he wrote. “The answer is ‘yes.’ For your convenience, attached to this letter is rescission paperwork.”

Source link

COMMENTS

Name

Africa,728,Americas,3907,Art & Culture,14221,Arts,6333,Arts & Design,1524,Asia,3114,Automobile,415,Baseball,502,Basketball,401,Books,3725,Business,5166,Celebrity,2592,Cricket,605,Crime,121,Cryptocurrency,1389,Dance,586,Defense,796,Diplomatic Relations,2451,Economy,1008,Editorial,260,Education,1118,Elections,291,Energy & Environment,2988,Entertainment,22083,Environment,3469,Europe,4063,Faith & Religion,205,Family & Life,775,Fashion & Style,3086,Finance,18973,Food & Drink,3576,Football,1027,Games,74,Gossip,10245,Health & Fitness,3917,Health Care,870,Hockey,181,Home & Garden,881,Humour,950,Latin America,49,Lifestyle,16229,Media,490,Middle East,1398,Movies,1581,Music,2485,Opinion,2732,Other,11226,Other Sports,4868,Political News,11236,Political Protests,2280,Politics,17282,Real Estate,1686,Relationship,63,Retail,3070,Science,2473,Science & Tech,9487,Soccer,159,Space & Cosmos,276,Sports,11401,Technology,3269,Tennis,505,Theater,1561,Transportation,275,Travel,2438,TV,3528,US Sports,1434,Video News,3531,War & Conflict,1026,Weird News,954,World,15562,
ltr
item
Newsrust: Anthony Scaramucci moves $290M to three major hedge funds amid rough 2020
Anthony Scaramucci moves $290M to three major hedge funds amid rough 2020
https://thenypost.files.wordpress.com/2020/05/the-mooch.jpg?quality=90&strip=all&w=1200
Newsrust
https://www.newsrust.com/2020/05/anthony-scaramucci-moves-290m-to-three.html
https://www.newsrust.com/
https://www.newsrust.com/
https://www.newsrust.com/2020/05/anthony-scaramucci-moves-290m-to-three.html
true
732247599994189300
UTF-8
Loaded All Posts Not found any posts VIEW ALL Readmore Reply Cancel reply Delete By Home PAGES POSTS View All RECOMMENDED FOR YOU LABEL ARCHIVE SEARCH ALL POSTS Not found any post match with your request Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS PREMIUM CONTENT IS LOCKED STEP 1: Share to a social network STEP 2: Click the link on your social network Copy All Code Select All Code All codes were copied to your clipboard Can not copy the codes / texts, please press [CTRL]+[C] (or CMD+C with Mac) to copy Table of Content