| NEW YORK
NEW YORK Feb 14 Several big-name U.S. hedge
fund investors in the fourth quarter moved significant parts of
their portfolios into financial and pharmaceutical stocks that
are expected to benefit under the Trump administration, helping
to power the sector to its best January performance in four
Omega Advisors, run by Leon Cooperman and Steven Einhorn,
increased its stake in insurance broker Fidelity & Guaranty Life
by 343 percent compared with the quarter before, and
added a new position in regional bank Renasant Corp,
according to securities filings released Tuesday.
Both companies are up 16 percent or more since President
Donald Trump's surprising November election victory, compared
with a 9.6 percent gain in the broad Standard & Poor's 500.
Jana Partners, one of the largest U.S. activist investors,
added six new healthcare companies to its portfolio, and
increased its stake in 11 other companies in the sector by 50
percent or more, including biotechnology holdings such as
Nuvasive Inc and Acadia Pharmaceuticals Inc.
Shares of Acadia are up 72 percent since Election Day, while
shares of Nuvasive are up 24 percent.
Appaloosa Asset Management, run by billionaire David Tepper,
nearly tripled its stake in pharmaceutical company Allergan PLC
, to 15.8 percent of its portfolio, according to filings.
Shares of the company are up 24.6 percent since the Nov. 8
The winning bets come as equity hedge funds gained 2.1
percent in January, the strongest start to a calendar year for
the industry since 2013, according to Hedge Fund Research. Total
assets under management in the hedge fund industry reached $3.02
trillion at the end of the fourth quarter, the first time that
hedge fund assets surpassed $3 trillion, the research firm said.
Trump's administration is expected to slash financial
regulation, helping push the financial companies in the S&P 500
up 22.3 percent since Election Day. Pharmaceutical companies,
meanwhile, have rallied on Trump's pledge to speed drug
The quarterly disclosures of manager stock holdings, in what
are known as 13F filings with the U.S. Securities and Exchange
Commision, are closely watched as investors look to divine what
well-known hedge fund managers are buying and selling. However,
the filings are backward looking and come out 45 days after the
end of each quarter, meaning that funds could have added to or
sold their positions since.
While the position information from the filings does not
reflect January activity, fund managers have said they continued
to play the same trends.
But not every hedge fund manager made savvy bets in the
Tiger Global, known in part for taking concentrated
positions in companies, sold all of its shares in Apple Inc
during the fourth quarter, a position that made up 5.8
percent of its portfolio the quarter before. Shares of the
iPhone maker hit a record high Tuesday and are up 16.5 percent
since the start of the year.
Warren Buffet's Berkshire Hathaway, meanwhile, more than
tripled its position in the company over the same time, to 4.5
percent of its portfolio.
(Reporting by David Randall; Editing by Jennifer Ablan and