Forum Home Page [see Broadridge note below]

 The Shareholder ForumTM`

Fair Investor Access

This public program was initiated in collaboration with The Conference Board Task Force on Corporate/Investor Engagement and with Thomson Reuters support of communication technologies. The Forum is providing continuing reports of the issues that concern this program's participants, as summarized  in the January 5, 2015 Forum Report of Conclusions.

"Fair Access" Home Page

"Fair Access" Program Reference


Related Projects 2012-2019

For graphed analyses of company and related industry returns, see

Returns on Corporate Capital

See also analyses of

Shareholder Support Rankings


Forum distribution:

Rewards of activism


Source: Reuters Hedgeworld, January 8, 2014 article



Activists trump most rival hedge funds with double-digit returns

By Reuters
Wednesday, January 08, 2014

BOSTON (Reuters)—Activist investors, known for pushing corporations to perform better, recorded some of the best returns in 2013 when many rival hedge funds delivered only lackluster gains and failed to keep pace with the U.S. stock market's rally.

On average, the roughly 60 funds tracked by Hedge Fund Research that specialize in activist investing returned 16.6 percent in 2013, the research group said on Wednesday [Jan. 8]. While that is still far less than the Standard & Poor's 500 stock index's jump of roughly 30 percent, it is far better than the average hedge fund, which returned 9.3 percent, HFR data showed.

Hedge funds that focused on technology and health care scored the biggest gains, returning 22.34 percent, according to HFR data. In contrast, short-sellers suffered double-digit losses of 16.36 percent as the U.S. stock market rallied.

Fund managers like Daniel Loeb, who demanded that Sotheby's fire its CEO, and David Einhorn and Carl Icahn, who publicly pressed for change at iPhone maker Apple Inc., helped their firms' 2013 returns.

But there are plenty of quieter activists whose portfolios fared even better last year.

Larry Robbins, who cringes at the term "activism" and prefers a gentler touch through what he calls "suggestivism," guided his Glenview Capital Partners fund to a gain of 42.9 percent last year, an investor in the fund said.

Eric Knight's KnightVinke fund, which has been urging Swiss bank UBS to dispose of its investment bank, ended the year up 37.23 percent, an investor said.

And Cliff Robbins' Blue Harbour Group's newly launched Blue Harbour Active Ownership Partners funds gained 30 percent, according to someone familiar with the fund.

But activism isn't a sure path to success, in part because managers often have to make very public demands for change that can sometimes backfire. Prominent activist investor Bill Ackman's $12 billion Pershing Square Capital Management absorbed a $500 million loss when he walked away from a bet on J.C. Penney Co Inc. and his short bet against Herbalife has suffered at the hands of rivals like Icahn. Still, other bets worked out better, and his fund gained 9.3 percent for the year, an investor said.

By Svea Herbst-Bayliss

Story Copyright © 1999-2014 Reuters HedgeWorld All rights reserved.


This Forum program was open, free of charge, to anyone concerned with investor interests in the development of marketplace standards for expanded access to information for securities valuation and shareholder voting decisions. As stated in the posted Conditions of Participation, the purpose of this public Forum's program was to provide decision-makers with access to information and a free exchange of views on the issues presented in the program's Forum Summary. Each participant was expected to make independent use of information obtained through the Forum, subject to the privacy rights of other participants.  It is a Forum rule that participants will not be identified or quoted without their explicit permission.

This Forum program was initiated in 2012 in collaboration with The Conference Board and with Thomson Reuters support of communication technologies to address issues and objectives defined by participants in the 2010 "E-Meetings" program relevant to broad public interests in marketplace practices. The website is being maintained to provide continuing reports of the issues addressed in the program, as summarized in the January 5, 2015 Forum Report of Conclusions.

Inquiries about this Forum program and requests to be included in its distribution list may be addressed to

The information provided to Forum participants is intended for their private reference, and permission has not been granted for the republishing of any copyrighted material. The material presented on this web site is the responsibility of Gary Lutin, as chairman of the Shareholder Forum.

Shareholder Forum™ is a trademark owned by The Shareholder Forum, Inc., for the programs conducted since 1999 to support investor access to decision-making information. It should be noted that we have no responsibility for the services that Broadridge Financial Solutions, Inc., introduced for review in the Forum's 2010 "E-Meetings" program and has since been offering with the “Shareholder Forum” name, and we have asked Broadridge to use a different name that does not suggest our support or endorsement.