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Jan. 3, 2019, 6:01 p.m. EST

Daniel Loeb’s Third Point lost 11% last year, worst since 2008

Hedge fund deepened its losses in December

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By Rachael Levy


Bloomberg News
Daniel Loeb, chief executive officer of Third Point LLC.

Activist hedge-fund firm Third Point LLC lost about 11% last year, its worst performance since 2008.

The losses deepened in December when Third Point’s Offshore Fund Ltd. dropped about 6% for the month, according to an investor document reviewed by The Wall Street Journal. Two other Third Point funds dropped by roughly the same amount. The 11% annual losses for those funds were disclosed in the same document.

Third Point, run by Chief Executive Daniel Loeb, is one of the most prominent hedge funds in the industry. It is known for taking large positions in companies and advocating aggressively for change via fiery letters from Loeb. Some of its recent bets were a big position in Campbell Soup Co. /zigman2/quotes/202107764/composite CPB +0.88%   in 2018 and a large stake in Nestlé SA /zigman2/quotes/208115528/delayed CH:NESN -0.89%   during 2017.

Before 2018, Third Point’s worst year was 2008, according to a spokeswoman, when the Offshore Fund fell 33%. Third Point also was able to earn profits in recent years and raise billions. The firm managed about $18 billion as of last year. Loeb founded the firm in 1995 with $3 million.

An expanded version of this report appears on WSJ.com.

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/zigman2/quotes/202107764/composite
US : U.S.: NYSE
$ 48.67
+0.42 +0.88%
Volume: 583,215
Dec. 10, 2019 11:23a
P/E Ratio
55.48
Dividend Yield
2.87%
Market Cap
$14.55 billion
Rev. per Employee
$423,957
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/zigman2/quotes/208115528/delayed
CH : Switzerland: SWX
CHF 102.96
-0.92 -0.89%
Volume: 4.31M
Dec. 10, 2019 5:08p
P/E Ratio
33.02
Dividend Yield
2.38%
Market Cap
CHF299.95 billion
Rev. per Employee
CHF296,880
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