BOSTON, July 2 Billionaire investor Daniel
Loeb's main hedge fund returned 6 percent during the first six
months of 2014, beating many rival managers' largely lackluster
returns but trailing his own performance from last year.
Loeb's $14 billion firm Third Point told investors that its
Third Point Offshore Fund gained 1.9 percent in June, leaving it
up 6 percent for the first half of the year.
While the gains are not far off the S&P 500's 7.1 percent
increase and handily trump the average hedge fund's 1.77 percent
rise in the first half, according to data from Hedge Fund
Research, they are nowhere near as strong as last year's returns
when his flagship fund ended the year with a 25.2 percent gain.
Loeb's go-anywhere trading strategy has made the firm one of
the industry's most successful with a 17.8 percent annualized
return. But 2014 is proving to be tough for many managers as
some of the industry's biggest stars have been surprised by an
earlier drop in tech stocks plus U.S. bonds' relative strength.
Most managers are still preparing their month-end numbers
but Loeb is usually among the first to give investors basic
information on how he performed, sometimes acting as a
bellwether for industry returns.
Two months ago, Loeb warned investors that bumpy trading
could be ahead for the rest of the year.
(Reporting by Svea Herbst-Bayliss)