MarketFolly.com
02-09-2011, 10:00 AM
Dan Loeb's Third Point (http://www.marketfolly.com/2010/12/dan-loebs-third-point-q3-letter-to.html) Offshore Fund recently released its January performance and the fund was up 3.9% for the month compared to a 2.4% return in the S&P 500. To date, Third Point has seen 18.9% annualized returns with a low correlation to the market (0.42).
Equity Exposure
In equities, Loeb's hedge fund has its highest net long exposure in basic materials at 16.4% net long. Their second highest exposure comes with a 12.9% net long position in the consumer sector. In total, Third Point is 68.9% long and -7.9% short, leaving the fund 61% net long.
Credit Exposure
Loeb is 31.1% net long credit with his largest exposure in mortgage backed securities (MBS) at 19.3% net long. He is also 12.3% net long distressed and -10.1% short Government bonds.
Top Positions
As of the end of January, Third Point's top positions remain unchanged from previous months:
1. Gold (physical)
2. Delphi (multiple securities held)
3. Chrysler (multiple securities held)
4. Potash (POT)
5. Lyondell Basell (LYB)
Top Winners & Losers
Third Point's portfolio attributed positive performance in the month to shares of Potash (POT), Smurfit-Stone Container (SSCC), Massey Energy (MEE), NXP Semiconductor (NXPI), and Aveta. We recently highlighted how Third Point opposes SSCC's takeover (http://www.marketfolly.com/2011/02/hedge-funds-active-in-smurfit-stone.html) and other hedge funds have been active in the name as well. SSCC is one of the many post-reorganization equities found in Loeb's portfolio. Last year we cited how Third Point likes post-reorg equities (http://www.marketfolly.com/2010/09/dan-loebs-third-point-reduces-equity.html) and just recently we noted that John Paulson likes them too (http://www.marketfolly.com/2011/02/john-paulsons-year-end-letter.html).
Regarding his position in NXP Semiconductor, Loeb highlighted NXPI in a recent letter (http://www.marketfolly.com/2010/12/dan-loebs-third-point-q3-letter-to.html). The company is involved in near field communications and is seen as a prime play on mobile payments. Third Point also saw solid performance from its position in Massey Energy as the company received a takeover offer from Alpha Natural Resources (ANR).
Positions that negatively affected Third Point's portfolio last month include Gold, Brenntag AG (ETR:BNR), Mead Johnson Nutrition (MJN), African Barrick Gold (LON: ABG), and Accuride (ACW).
To learn to invest like this hedge fund manager, check out Dan Loeb's recommended reading list (http://www.marketfolly.com/2009/08/dan-loebs-recommended-investing-books.html).https://blogger.googleusercontent.com/tracker/5975869446501122263-6433650240427432899?l=www.marketfolly.com
http://feeds.feedburner.com/~ff/MarketFolly?d=yIl2AUoC8zA (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:yIl2AUoC8zA) http://feeds.feedburner.com/~ff/MarketFolly?d=7Q72WNTAKBA (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:7Q72WNTAKBA) http://feeds.feedburner.com/~ff/MarketFolly?i=nEdka9DP69Y:Lu0AKtwSsgg:gIN9vFwOqvQ (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:gIN9vFwOqvQ) http://feeds.feedburner.com/~ff/MarketFolly?i=nEdka9DP69Y:Lu0AKtwSsgg:V_sGLiPBpWU (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:V_sGLiPBpWU)
http://feeds.feedburner.com/~r/MarketFolly/~4/nEdka9DP69Y
More... (http://feedproxy.google.com/~r/MarketFolly/~3/nEdka9DP69Y/dan-loeb-third-points-latest.html)
Equity Exposure
In equities, Loeb's hedge fund has its highest net long exposure in basic materials at 16.4% net long. Their second highest exposure comes with a 12.9% net long position in the consumer sector. In total, Third Point is 68.9% long and -7.9% short, leaving the fund 61% net long.
Credit Exposure
Loeb is 31.1% net long credit with his largest exposure in mortgage backed securities (MBS) at 19.3% net long. He is also 12.3% net long distressed and -10.1% short Government bonds.
Top Positions
As of the end of January, Third Point's top positions remain unchanged from previous months:
1. Gold (physical)
2. Delphi (multiple securities held)
3. Chrysler (multiple securities held)
4. Potash (POT)
5. Lyondell Basell (LYB)
Top Winners & Losers
Third Point's portfolio attributed positive performance in the month to shares of Potash (POT), Smurfit-Stone Container (SSCC), Massey Energy (MEE), NXP Semiconductor (NXPI), and Aveta. We recently highlighted how Third Point opposes SSCC's takeover (http://www.marketfolly.com/2011/02/hedge-funds-active-in-smurfit-stone.html) and other hedge funds have been active in the name as well. SSCC is one of the many post-reorganization equities found in Loeb's portfolio. Last year we cited how Third Point likes post-reorg equities (http://www.marketfolly.com/2010/09/dan-loebs-third-point-reduces-equity.html) and just recently we noted that John Paulson likes them too (http://www.marketfolly.com/2011/02/john-paulsons-year-end-letter.html).
Regarding his position in NXP Semiconductor, Loeb highlighted NXPI in a recent letter (http://www.marketfolly.com/2010/12/dan-loebs-third-point-q3-letter-to.html). The company is involved in near field communications and is seen as a prime play on mobile payments. Third Point also saw solid performance from its position in Massey Energy as the company received a takeover offer from Alpha Natural Resources (ANR).
Positions that negatively affected Third Point's portfolio last month include Gold, Brenntag AG (ETR:BNR), Mead Johnson Nutrition (MJN), African Barrick Gold (LON: ABG), and Accuride (ACW).
To learn to invest like this hedge fund manager, check out Dan Loeb's recommended reading list (http://www.marketfolly.com/2009/08/dan-loebs-recommended-investing-books.html).https://blogger.googleusercontent.com/tracker/5975869446501122263-6433650240427432899?l=www.marketfolly.com
http://feeds.feedburner.com/~ff/MarketFolly?d=yIl2AUoC8zA (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:yIl2AUoC8zA) http://feeds.feedburner.com/~ff/MarketFolly?d=7Q72WNTAKBA (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:7Q72WNTAKBA) http://feeds.feedburner.com/~ff/MarketFolly?i=nEdka9DP69Y:Lu0AKtwSsgg:gIN9vFwOqvQ (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:gIN9vFwOqvQ) http://feeds.feedburner.com/~ff/MarketFolly?i=nEdka9DP69Y:Lu0AKtwSsgg:V_sGLiPBpWU (http://feeds.feedburner.com/~ff/MarketFolly?a=nEdka9DP69Y:Lu0AKtwSsgg:V_sGLiPBpWU)
http://feeds.feedburner.com/~r/MarketFolly/~4/nEdka9DP69Y
More... (http://feedproxy.google.com/~r/MarketFolly/~3/nEdka9DP69Y/dan-loeb-third-points-latest.html)