By Shawn Langlois, MarketWatch
That's Axon Capital co-founder Dinakar Singh giving a nod to the president and his handling of the coronavirus pandemic in a recent note to investors cited by Reuters ().
Trump, of course, has embraced that role, acknowledging he's had to be "a cheerleader" to avoid creating "havoc and shock" in a country with the world's highest number of infections and deaths.
"We simply never believed 'what happens in China stays in China,'" wrote Singh, whose hedge fund overseas about $1 billion in assets and is up about 30% so far this year thanks to big bets on bets on technology giants, managed-care stocks and Japanese companies.
Specifically, the fund capitalized on rallies in Google owner Alphabet(GOOGL) , Facebook (FB), Centene(CNC), Humana(HUM) , and Olympus , while grabbing profits from short bets on retailers Gap(GPS) and Kohl's(KSS) .
Axon, as Reuters reported, has trounced the average hedge fund, which lost 3.5% in the first half. Singh said he was able to hedge earlier in the year by "adding some volatility protection," a move that bogged down "performance in January and early February, but has helped ever since."
What's next? Sing, a former Goldman(GS)stockpicker, offered a bearish take: "All investors should think seriously about buying 'protection' against structural rise in interest rates."
No need for much downside protection in Tuesday's trading session, with the Dow Jones Industrial Averagepushing higher out of the gates. The S&P 500and Nasdaq Compositewere slightly lower, at last check.
-Shawn Langlois; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
July 14, 2020 11:01 ET (15:01 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.