BlueGold hedge fund thrives in 2008 while others suffer

31 December 2008

BlueGold Capital Management was one of the few hedge fund success stories of 2008, it has been reported.

According to Bloomberg, manager Pierre Andurand claimed his fund almost tripled in size between February and November, successfully betting on a rise in oil prices during the first half of the year and then gambling on price decreases in the latter months.

Such growth is in stark contrast to the hedge fund industry as a whole, which according to Hedge Fund Research had a peak value of $1.9 trillion in June.

Morgan Stanley has predicted that this total could fall by as much 45 percent by the end of the year.

The Financial Times reported on Hedge Fund Research statistics this week that show investors in New York withdrew $32 billion last month alone.

Avoiding complex strategies was the key to BlueGold's success, as the 31-year-old Mr Andurand explained.

"We stuck to what we know best: keep it simple," he remarked.

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