Hedge Funds See Investment Potential Resulting From Health Law
Fund managers appeared to be placing bets on health insurers -- starting before the Supreme Court's health law ruling.
The Wall Street Journal: Hedge Funds Seized On Health-Care Uncertainty
David Einhorn's Greenlight Capital Inc. and Daniel Loeb's Third Point LLC were among the prominent hedge funds that placed bets on health insurers even as Wall Street fretted over a Supreme Court ruling on the health-care overhaul (Chung and Beniot, 8/15).
CNN Money: Hedge Funds Bet On Obamacare
Hedge fund manager Dan Loeb, once a supporter of President Obama, is now a critic. But he appears to think the president's health care plan will be a boon for health insurers. And he's not alone. Loeb and noted short seller David Einhorn accumulated new positions in multiple health insurance stocks at some point in the second quarter, according to SEC filings released Tuesday. Both Loeb's Third Point Capital and Einhorn's Greenlight Capital acquired stakes in Aetna, Cigna, Humana and UnitedHealth Group. While Loeb called the Obama administration "hostile to most businesses and unable to articulate or implement policies to spark growth or reduce unemployment" in a recent letter to investors, he did not discuss his rationale for investing in health care stocks (Farrell, 8/15).