Hedge fund managers piled into the Marriott on Grosvenor Square earlier this week for London’s first Sohn conference. The headlines were dominated by Carson Block’s announcement that his next target was Olam International, but we wanted to give you a quick run through what the others had to say. Read more
Patrick Degorce, an ex-Merrill Lynch banker who co-founded activist manager The Childrens’ Investment Fund with Chris Hohn, has raised more than $700m for his new hedge fund, Thélème Partners, reports the FT. The amount makes Thélème the biggest equity hedge fund launch since the financial crisis. The fund, which Degorce runs alongside fellow former TCI partner Snehal Amin, has already returned just over 10% since it launched in February – beating peers in what has been one of the sector’s most difficult years, with the average equity long/short hedge fund returning just 3.72% over the past 10 months, according to Hedge Fund Research.
Totemic UK hedge fund manager and activist investor par excellence, The Children’s Investment Fund Management, run by Christopher Hohn, has indeed posted its fourth consecutive year of double-digit growth: revenue was lifted more than 70 per cent to £574m from £333m a year previously, according to the 2008 accounts, filed this week at Companies House. Read more
It was almost a year ago that UK activist investor The Children’s Investment fund was making huge waves in Japan, not least with its full-frontal assault on Electric Power Development Co, the Japanese electric power wholesaler and nuclear energy company known locally as J-Power.
It wasn’t as if TCI didn’t have enough on its plate already: In the US, the $9.5bn UK hedge fund was fighting for radical changes at national railroad CSX and had taken a stake of almost 1 per cent in the CME Group and a smaller stake in the New York Mercantile Exchange Group in the midst of the two groups struggling to persuade shareholders to back their proposed $9bn merger. The previous year, TCI had been agitating at ABN Amro, as well as attempting to block the merger of the NYSE and Euronext. Read more
There is nothing more unsettling than the nauseating family letter which falls out of the Christmas card from the old, but seldom-seen friend. There’s the trumpet-blowing about little Timmie’s latest great works; the blow by blow account of the family’s tour of evangelical Lutheran churches in Saxony this summer; and the tight-lipped acknowledgement that father dearest is now living with a 20-year-old in a bedsit in Peckham.
Not so for friends and associates of TCI’s Chris Hohn. His family’s New Year’s card message in 2006 reported his “exceptionally exciting year overthrowing German CEOs.” Read more
UK hedge funds are following the US pattern as older, more established London hedge funds spawn second-generation funds, highlighting the limited supply of investment bankers willing or able to raise large sums, reports the FT on Monday.
Mr Turner’s move follows the setting up of two large funds by former senior hedge fund managers. Jabre Capital, created in Geneva by former GLG Partners star trader Philippe Jabre, now runs $4bn, while Talaris Capital, founded by Nicolas Andine from Gandhara Capital, has grown to $925m since starting trading in January, notes the report. Read more
Chris Hohn gave £230m to his charitable foundation last year, making the activist hedge fund manager one of Britain’s most generous philanthropists, with even more expected to be given this year. Mr Hohn, founder of The Children’s Investment Fund, told investors in New York two weeks ago that the foundation — run by his wife Jamie — had passed $1bn, less than five years after it was set up. Last year’s donation is one of the biggest single acts of charity by a Briton – but Mr Hohn’s philanthropy contrasts with the aggressive activism for which TCI is known.
Christopher Hohn, from rabble-rousing hedge fund TCI, has managed to do what Rijkman Groenink, chairman and chief executive of ABN Amro has supposedly failed to do in six years: get shares in the Dutch bank to go up.
ABN Amro stock spiked five per cent higher on Wednesday following news that TCI, The Children’s Investment Fund, has written to both Mr Groenink and the chairman of ABN’s supervisory board, Arthur Martinez, telling the pair to get their strategic act together. Read more