Billionaire investors David Einhorns’ Green capital hedge fund, lost 7.6 percent this month, as the bets on car companies General Motors and Tesla went against them. This left the fund dow to 25.1 percent for this year. After the market closed on Friday, Einhorn sent investors his monthly updates about mentioning the lost but he didn’t mention the reason behind the fall. Einhor’s largest investment holdings fell 3.4 percent.
Greenlight is also one of the hedge funds who took a position on Tesla – betting that the stock would fall. Tesla founder Elon Musk tweet in early august about his stance on taking the company private. Then after couple of weeks, Musk announced to remain a public company after all, ended the month and hurting short sellers in meanwhile.
Einhorn’s investors have been losing shared vision for some time now and have been taking their money out. According to the source, August members could prompt more exits at end of the year when the manager will next let investors redeem money. Einhorn spokesman refused to comment on the situation which further created confusion among the investors.
At the same time, Daniel Loeb has successfully pushed Nestle to spin off units and working on getting Campbell Soup to put itself up for sale, while gaining tiny profit share in August. His partners fund has increased up 0.1 percent, leaving it up 0.9 percent for the year to date. William Ackman the third manager, has shared many investors, and has swung to big profits for this year. His private hedge fund is increased roughly 15 percent for the year. The reason behind this growth is his latest investment with the company Automatic Data Processing, Chipotle Mexican Grill and Lowe’s Companies. The average hedge fund has fallen roughly half a percent this year.