Hedge Funds Held on to Pandemic Losers, and Now It’s Paying Off

As the world went into lockdown last year, hedge funds stuck by the companies that suffered the most. It paid off.

Some of the industry’s biggest names loaded up on companies that were pummeled as Covid-19 prompted government lockdowns and social-distancing guidelines, according to hedge fund consultant PivotalPath. They’re the hotels, casinos, cruise lines, restaurant chains and theme park companies that people are longing to frequent again as the pandemic recedes in the U.S.