May 19 (Bloomberg) -- Daniel Och had about 35 percent of his $20 billion of hedge-fund assets in cash during the first quarter because he suspects global stock markets will start falling again.
“The world will not just bounce back to where it was,” Och, the 48-year-old chief executive officer of New York-based Och-Ziff Capital Management Group LLC, wrote last month in a letter to investors, referring to the gain of almost 35 percent in the Standard & Poor’s 500 Index since March 9. “We continue to believe that economic recovery will be a long process.”
OZ Master, Och-Ziff’s biggest hedge fund, rose 6.3 percent this year through April after losing 15.5 percent last year. The S&P 500 fell 3.4 percent in the first four months of 2009 after dropping 38 percent in 2008.
Hedge-fund managers, including David Einhorn, John Horseman and Dmitry Balyasny, are telling clients the stock market rally won’t last because of the economy. Their bearish view contrasts with Traxis Partners LP’s Barton Biggs and Byron Wien of Pequot Capital Management Inc., who say it’s time to buy equities.
Read the complete story at bloomberg.com
“The world will not just bounce back to where it was,” Och, the 48-year-old chief executive officer of New York-based Och-Ziff Capital Management Group LLC, wrote last month in a letter to investors, referring to the gain of almost 35 percent in the Standard & Poor’s 500 Index since March 9. “We continue to believe that economic recovery will be a long process.”
OZ Master, Och-Ziff’s biggest hedge fund, rose 6.3 percent this year through April after losing 15.5 percent last year. The S&P 500 fell 3.4 percent in the first four months of 2009 after dropping 38 percent in 2008.
Hedge-fund managers, including David Einhorn, John Horseman and Dmitry Balyasny, are telling clients the stock market rally won’t last because of the economy. Their bearish view contrasts with Traxis Partners LP’s Barton Biggs and Byron Wien of Pequot Capital Management Inc., who say it’s time to buy equities.
Read the complete story at bloomberg.com
