Short-Selling U.K. Hedge Fund Cashes In on Chaos

https://dailyalts.com/wp-content/uploads/2019/12/57e4d5444257b114a6d98074cf213576083edbe25650734e7c277f_640.jpg

Marshall Wace has declared a massive profit this year.

Marshall Wace’s LLP reported profits of £258 million. That’s a pretty nice payday for all of its 17 partners. The firm reported a turnover of £803 million at the end of February 2019. That figure is up sharply from the £ 647 million it had in 2018, according to The Guardian.

The hedge fund manages roughly £36 billion. It’s been making a significant number of bets against British companies in a time of economic challenges for the nation. The ongoing Brexit saga continues to generate increased uncertainty about the country’s relationship with the world’s largest trade bloc – the European Union.

Marshall Wace Shorts the United Kingdom

According to the Guardian, Marshall Wace bet against at least 33 British firms. It bet £52 million against broadcasting firm ITV. The hedge fund took another £66 million short position against Pearson, the education publishing firm. It also targeted fashion retailer Asos with a £14 million short position.

The massive windfall is a boon for Marshall Wace partners. The Guardian estimates that each member of the LLP will earn £14 million. However, the report forecasts that more senior leaders at the firm will receive a higher payout.

Paul Marshall and Ian Wace founded the hedge fund in 1997. They are both politically connected and have fortunes north of £500 million, according to the Economic Times. Despite their long-time business partnership, both men fall in different camps over the future of Britain. Wace reportedly donated money to the campaign for England to remain in the European Union. Marshall, however, was a large donor to the exit campaign.

Related: Naomi Heaton Optimistic Despite Brexit Concerns

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2023/12/AMD_headquarters_santa_clara.624da707519a6.jpg
Artificial Intelligence: AMD Takes On Rivals In The AI Chip Sweepstakes
December 7, 2023     Artificial Intelligence, News

Chipmaker AMD (NASDAQ: AMD) has unveiled a range of innovative AI solutions spanning from data centers to personal computers. The AMD Instinct MI300 Series features data center AI accelerators, while…

https://dailyalts.com/wp-content/uploads/2023/12/RHCEU-Inline.jpg
Digital Assets: Robinhood Debuts Crypto Trading On Its App In The EU
December 7, 2023     Digital Assets, FinTech, News

Robinhood (NASDAQ: HOOD) has launched its Crypto app in the European Union (EU), allowing eligible customers to engage in crypto trading with the added incentive of earning Bitcoin rewards. Customers…

https://dailyalts.com/wp-content/uploads/2023/12/Samsung_UK_Samsung_Pay_Lifestyle_0552-revised-Pictogram-23.11.30-1024x744-1.png
FinTech: Samsung Electronics Ties With Mastercard’s Wallet Express
December 7, 2023     FinTech, News

Samsung Electronics (KRX: 005930) and Mastercard (NYSE: MA) have partnered to launch the Wallet Express program, offering banks and card issuers a cost-effective way to expand digital wallet offerings. Through…

https://dailyalts.com/wp-content/uploads/2023/12/Revaia-founders.jpg
Venture Capital: Revaia, Europe’s Biggest Female-Led VC Firm, Racks Up $160M For Second Fund
December 7, 2023     ESG and Sustainability, News, Venture Capital

Revaia, Europe’s largest female-founded venture capital firm, has successfully raised €150 million ($160 million) for its second fund, Revaia Growth II. The funding was secured from sovereign wealth funds, family…