BlueCrest Capital Management, the $12.5 billion hedge fund run by Michael Platt, in April posted its biggest gain in its macro fund in more than five years as it profited from a selloff in European bonds that caught many of its rivals off guard.
The $4.9 billion BlueCrest Capital International macro fund rose 2.8 percent in April, reducing losses this year to 3.5 percent, according to an investor update.
The fund recorded most of the gains in the last week of April, when German bonds fell sharply. The slump hurt money managers who had been betting European debt would rise further because of the European Central Bank’s quantitative easing program.
BlueCrest’s BCI fund had gained 0.9 percent in the first three weeks of April, an investor document shows. Its profits in the last week of the month helped to partly offset 2015 losses caused in January, when the fund slumped 6 percent amid declines caused by the Swiss franc’s surge.
Last month’s gain for BCI was the biggest since January 2010, when it rose 3.3 percent, the document shows. Platt, a former interest-rate swaps trader at JPMorgan Chase & Co., started the fund in 2000, the year he co-founded his firm. BlueCrest is based in the Channel Island of Jersey.
Computer-driven funds including Winton Capital Management and Aspect Capital last month posted their biggest declines in at least seven years. Fortress Investment Group LLC’s macro hedge fund, run by Michael Novogratz, declined more than 3 percent last month, bringing losses in 2015 to 8 percent, according to a filing.
Bill Gross’s Janus Global Unconstrained Bond Fund, a $1.46 billion mutual fund that had been betting German government bonds would trade in a narrow range as long as the ECB bought the debt, has fallen about 2.6 percent in the past two weeks. The decline came after the investor said on April 21 that the debt was the “short of a lifetime.”
“The good news there is that we are living in a macro world,” Novogratz said on a call Thursday with analysts discussing the company’s results. “The opportunity side is rich and fertile.”