By Rob Copeland
James Chanos's Kynikos Opportunity Fund fell 13.6% last year,
the largest decline in at least a decade, according to a document
detailing fund performance circulated at an industry conference
last month.
It was the second consecutive year of losses for that fund,
which dropped less than 1% in 2012. The fund made money in four of
the previous five years, including a 19% rise in 2008, when many
hedge funds lost money during the financial crisis.
Figures for January 2014 weren't listed in the document.
While most hedge funds, including the Kynikos Opportunity Fund,
can profit from both rising and falling markets, Mr. Chanos has
long been noted for his bearish market calls.
At the annual hedge fund forum organized by Morgan Stanley last
month at the Breakers Resort Palm Beach, where the document was
distributed, Mr. Chanos reiterated his negative view on Chinese
developers and coal-related investments, said a person who attended
the event.
He also told The Wall Street Journal last week that he was still
betting against Caterpillar Inc ., the world's biggest maker of
construction and mining equipment.
Kynikos Associates LP manages at least $4 billion across several
funds, according to regulatory filings. Mr. Chanos didn't respond
to a request for comment.
Write to Rob Copeland at rob.copeland@wsj.com
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