* Coventry Health Care helped fuel gain
* Einhorn outperformed many rivals last month
BOSTON, Sept 4 Hedge fund manager David Einhorn
had plenty to brag about on Tuesday after his Greenlight Capital
gained 4.2 percent in August, thanks largely to a double-digit
jump in Coventry Health Care's stock price.
Einhorn's Greenlight Capital informed investors early on
Tuesday that his Greenlight Capital LP is now up 10.9 percent
for the year, said two people familiar with the results, but not
authorized to discuss them publicly.
Coventry Health Care, Einhorn's seventh largest position at
the end of the second quarter, likely provided the fuel for the
fund's gains as the insurer's stock price climbed 28 percent
during the last four weeks. Late last month, rival Aetna Inc
announced plans to buy Coventry Health Care.
Greenlight Capital, which oversees roughly $8 billion, also
benefited from gains in its biggest positions. Technology
company Apple, a favorite with many hedge funds and
Einhorn's biggest holding, climbed 9 percent in the last four
weeks. Seagate Technology, Einhorn's second largest
position, rose 4 percent and General Motors, third
biggest position, gained 6 percent.
Einhorn performed much better than many rivals during a
month when the Bank of America Merrill Lynch's Investable hedge
funds index inched up only 0.17 percent.
Many managers are still tallying their results for August
but some, like Einhorn, have already sent out their monthly
Daniel Loeb told investors that his Third Point Partners
fund gained 1.8 percent to be up 7.9 percent for the year, an
investor said. His Third Point Ultra fund climbed 2.7 percent
during the month and is up 11.2 percent for the year.
Even though managers like Einhorn and Loeb are still lagging
behind the Standard & Poor's 500 year to date gain of 11.8
percent in 2012, their clients are happy to see them post gains
for the month. A year ago, in August 2011, many of the world's
most prominent hedge fund managers, including Einhorn and Loeb,
were caught in August' s sell-off and finished the month in the