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A fund at $9 billion Carlson has lost nearly 20% this year

Oct 4, 2017, 23:53 IST

Bobby Yip/Reuters

Carlson Capital's Black Diamond Thematic fund has added to its losses this year, and is down 19% after fees this year through September 30, according to a client update seen by Business Insider.

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The long-short equity fund had previously lost 14.2% net this year through July 31, according to a client update previously reported by Business Insider. The fund managed $1.1 billion at the end of August, according to an investor. A spokesman for Carlson declined to comment.

It's unclear what caused the further decline. However, in a June letter, the fund partially blamed bitcoin mania for the drop in performance. The portfolio managers, Richard Maraviglia and Matthew Barkoff, said their fund remained short the stock market, notably in the semiconductor space.

But the surge in interest in bitcoin and ethereum has pushed shares of semiconductor makers higher. Their chips are used in the computers that solve complex equations to mine for cryptocurrencies.

The firm has seven funds in total. Here's Carlson's scorecard for the firm's five other funds, this year through September 30:

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  • Double Black Diamond, LP: +2.9%
  • Black Diamond Partners, LP: -4.6%
  • Black Diamond Relative Value Partners, LP: -1.76%
  • Black Diamond Arbitrage Partners, LP: +6.95%
  • Black Diamond Mortgage Opportunity, II: +6.97%
  • Black Diamond Energy, LP: -8.54%

Carlson managed $9.9 billion at the start of the year, according to the HFI Billion Dollar Club ranking.

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