Crispin Odey’s main hedge fund lost 22 percent during the first 14 days of March and is on course to record one of its worst monthly performances, according to two people with knowledge of the matter.
The loss leaves Odey European Inc. fund down 25.5 percent this year through March 14, the people said, asking not to be identified because the information is private. The MSCI Europe Index was down 3.7 percent, while the HFRX Equity Hedge Index dropped by 3.8 percent during the period. The fund’s worst month was April 2015, when it lost 19.3 percent.
Odey’s negative view of the Chinese economy and bets to take advantage of that resulted in volatile returns for investors who typically pay higher fees to hedge funds for market-beating returns in the long term. The fund, which managed 1.1 billion euros ($1.2 billion) at the end of January, lost 12.8 percent last year.
A spokeswoman for Odey Asset Management declined to comment.
Odey, which started in 1991, is one of Europe’s largest hedge-fund firms and managed $11 billion at the end of February, according to its website.
At the start of March, Odey Asset Management had bets that shares of companies such as Ashmore Group Plc and Anglo American Plc would fall, according to data compiled by Bloomberg. Ashmore shares increased by nearly 20 percent, while Anglo American shares jumped almost 14 percent in the first 14 days of March.
Odey isn’t alone in losing money. London-based Lansdowne Partners’ Developed Markets Fund declined by 3.2 percent in the opening four days of March, leaving it down 7.8 percent in 2016, while Lansdowne European Equity Fund lost 11.9 percent this year through March 4. Both funds were in Bloomberg’s list of the best- performing hedge funds last year.
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