The hedge fund of billionaire David Einhorn continued to plunge in September, falling 3.5%, further denting his returns in 2015. Einhorn’s Greenlight Capital hedge fund is now down by 16.9% for the year, an ugly looking number for the noted stock picker and short seller.
Einhorn’s returns, which were posted to the web site of his reinsurance company, are among the worst of any major hedge fund run by a billionaire this year. He came into September struggling and things got worse.
At 46, Einhorn has built a great reputation by making shrewd calls, like when he shorted Lehman Brothers into bankruptcy. But in 2015 his returns have been hurt by his hedge fund’s exposure to stocks like SunEdison, the solar and wind energy producer that was recently Greenlight’s second-biggest position. SunEdison’s stock is down by more than 60% this year; it fell by more than 30% in September alone. Investors this year have taken a dim view of SunEdison’s recent and expensive acquisition spree.
Another major holding that has stung Einhorn in 2015 is Greenlight’s big position in
Einhorn’s large position in Consol Energy has also continued to cause him pain this year. The coal and natural gas company saw its shares fall by 36% in September. Einhorn has told his investors that he has been shorting the shares of U.S. oil and gas companies that use hydraulic fracturing techniques, like
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