- Lee Ainslie's Maverick Capital rose 5.60% in May and has gained 19.48% year to date.
- Filings show that Ainslie took a new position in Wall Street's new darling, Nvidia, this year.
- Tiger Global and Coatue have also returned double-digits this year thanks to the resurgence of tech stocks.
Lee Ainslie's Maverick Capital is riding high so far in 2023.
The Tiger Cub's fund rose 5.60% in May and has gained 19.48% year to date, according to HSBC's Hedge Weekly performance report.
Regulatory filings for the firm's portfolio show that Ainslee took a new position in Nvidia, the chipmaker which powers some artificial intelligence applications, over the first three months of the year. The stock, which soared in May, was its fifth-largest holding, making up 3.26% of his portfolio as of March 31.
Salesforce, Facebook parent Meta, and Amazon are also among the manager's largest holdings to start the year, and each of those companies has seen their stocks rise.
Bloomberg reported that Chase Coleman's Tiger Global returned 6.5% in May and was up 15.5% for the year so far and that Philippe Laffont's Coatue returned 6% in May, bringing its year-t0-date performance to 13%.
D1 Capital, founded by Dan Sundheim, was up 5.17% for the first five months of 2023, according to Bloomberg, and Andreas Halvorsen's Viking Global gained 6.7% over the same period, according to a source familiar.
Spokespeople for the firms did not immediately return a request for comment.
This is a welcome turn of events for the Tiger Cubs, funds founded by portfolio managers who worked under the legendary Tiger Management head Julian Robertson. His protégés have for years piled into big growth stock bets and are now riding the wave of excitement for generative AI, which has helped tech companies and the S&P 500 climb.
In 2022, the focus on tech hurt Tiger Cubs. Maverick lost 28.8% last year. Tiger Global finished the year down 56%, and Coatue lost 18.8%. Fellow Tiger Cubs Lone Pine and grand cub D1 Capital also had double-digit losses, while Viking Global reported a single-digit loss.
While their strong performance this year will help them come back from last year's losses, Bloomberg's Katherine Burton and Hema Parmar reported that many technology-focused hedge funds are still below their high-water mark, or the provision that ensures that an investor doesn't pay fees until their losses have been recovered.
The average hedge fund lost 0.20% in May and has gained 1.23% over the first five months of the year, according to Hedge Fund Research.
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