Famed Oil Trader Andurand Bet on Cocoa Just Before Price Surge

  • Futures have soared to record levels on weather, supply woes
  • The trade has become increasingly risky due to volatility

Pierre Andurand

Photographer: Chris Ratcliffe/Bloomberg
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Oil trader Pierre Andurand’s hedge fund bet on higher cocoa prices ahead of a massive surge last month, stepping into a volatile market for the key chocolate ingredient as other speculators retreated.

The fund took a small, long position in early March, according to a person familiar with the matter. Prices soared more than 60% last month.