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Carlson Capital's stock-picking fund drops more than 20% in a disastrous January

Bradley Saacks   

Carlson Capital's stock-picking fund drops more than 20% in a disastrous January
Stock Market1 min read
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Spencer Platt/Getty Images

  • Carlson Capital's stock-picking fund, Black Diamond Thematic, lost more than 20% in January, according an investor document seen by Business Insider.
  • The fund lost roughly 60% of its assets last year when one of the firm's two portfolio managers, Matthew Barkoff, resigned. The fund was up 18% last year.
  • The firm's flagship multi-strategy funds roughly broke even last month. A source familiar with the firm says the firm's flagship Double Black Diamond fund has no allocation to the Thematic fund.
  • Visit Business Insider's homepage for more stories.

Carlson Capital's stock-picking fund Black Diamond Thematic lost more than 20% in January, an investor document showed.

The fund - which had more than $1 billion in assets in 2017 but saw AUM drop at the beginning of last year following the departure of one of its portfolio managers - more than doubled the average hedge fund's performance last year, returning 18%.

The Dallas-based manager, which runs $6.4 billion, declined to comment on why the fund plunged so much in a month or how much money that fund was running. A source familiar with the firm told Business Insider that the firm's flagship fund, Double Black Diamond, has no allocation to the Thematic fund.

The two multi-strategy funds run by the firm - the aforementioned Double Black Diamond and Black Diamond - returned 0.33% and -0.09%, respectively, for the month.

The stock-picking fund posted a positive performance last year, though still trailed the overall stock market. Thematic lost 1% and 22% in 2018 and 2017, respectively.

Carlson isn't the only fund that saw a major drop in the first month of 2020.

Bloomberg reported that David Einhorn's Greenlight Capital lost more than 7% in January thanks to the manager's bet against Elon Musk and Tesla.

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