One year ago
»» Paul Singer introduced a board of directors at then-$17.1 billion Elliott Management Corporation, a group that would take control should Singer no longer run the firm, “whether by death, incapacity, or otherwise,” according to a letter sent to investors. Changes in control of the firm, including the loss of Singer and co-CIO Jonathan Pollock or the introduction of a new management team, would also allow investors to redeem any or all of their investments.
None of those scenarios have come to pass in the past year. Singer and Pollack are still alive and kicking—the former gave a rousing speech last month at the SALT conference in Las Vegas—and the firm continues to accumulate assets. It is up to $19.2 billion according to the latest AR Billion Dollar Club. The offshore Elliott International fund has returned 3.10% this year through the end of May, according to an investor, compared with a 2.48% gain for the AR Composite Index.
Katrina Allen, an external spokeswoman for Elliott, declined to comment.
See also: Paul Singer on AR’s Rich List • Former Elliott trader plans convertible arbitrage fund
»» Bill Ackman, the activist chief of $10.4 billion Pershing Square Capital Management, considered a $3 billion initial public offering as a way to raise more permanent money.
Despite 2011 being an unremarkable year for his multistrategy Pershing Square International fund (it lost 1.1%), the plans are reportedly going forward for even more cash than was earlier anticipated. Ackman now intends to list next year on a “major exchange” to raise $4 billion, the Financial Times reported in April.
In the meantime, Pershing Square International is up 2.43% this year through the end of May, just lagging the 2.73% return for the AR Multistrategy Index in the same time period.
A Pershing Square spokesperson did not immediately respond to a request for comment.
See also: Ackman gives $10 million to aid human rights • Ackman wins big on 2011 Ira Sohn picks • Pershing Square Foundation goes off-Broadway with $25 million gift
Five years ago
»» Eddie Lampert’s ESL Investments was in the midst of boom times, opening to $3-5 billion in new capital off its existing $18 billion base.
Reality hit hard, however, as hedge funds were caught up an asset flight post-2008. ESL was down to $9.71 billion two years later, and now manages approximately $6.70 billion (a five-year lockup on investments may have helped staunch even more bleeding). Lampert recently unveiled his own flight: ESL announced it was moving its headquarters to state-income-tax-free Florida, from its longtime home in Greenwich, Conn.
ESL did not immediately respond to a request for comment.
See also: AR’s recent deep dive examining ESL’s Sears bet: So crazy it might work?