Paulson Co Inc

Featured In The Book

Key Facts

Founded1994
Websitehttp://paulsonco.com
HeadquartersNew York
Employees54
AUM$28.8 billion
AUM as ofJanuary 1, 2009
StrategiesCredit, Distressed, Relative Value

Overview

Paulson Co Inc is a hedge fund based in New York. It was founded in 1994 by John Paulson. They hold $28.8 billion in assets under management as of January 1, 2009. Started to focus on merger arbitrage
12 Fundshttp://www.bloomberg.com/apps/news?pid=newsarchive&sid=arAno4KAi9Es

Announced in his 2008 year end investor letter that he thinks the driver in 2009 and 2010 will be in long distressed opportunities.http://dealbook.blogs.nytimes.com/2009/01/30/paulson-defies-financial-crisis-and-posts-huge-gains/

$28.8 billion under management as of 1/1/2009http://dealbook.blogs.nytimes.com/2009/01/30/paulson-defies-financial-crisis-and-posts-huge-gains/
$35 billion under management as of 10/24/2008http://online.wsj.com/article/SB122480700238864977.html?mod=todays_us_money_and_investing
$28 billion under management as of 1/8/2008http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aF2.5PL13F4o

Eighth largest hedge fund in Institutional Investor's 2008 Hedge Fund 100, up from 69th in 2007http://www.iimagazine.com/Rankings/rankingsHeFu100RGlobal08.aspx?LS=EMS204396

Opening up a Real Estate Recovery Fund in 2009 to invest in distressed real estate (yes, from the long side this time). This will be run by Mike Barr (former MD at Lehman)

Historical Performance

2009 Results
Advantage up .48% in September, up 13.2% YTDhttp://dealbook.blogs.nytimes.com/2009/10/09/many-big-hedge-funds-post-september-gains/

2008 Resultshttp://dealbook.blogs.nytimes.com/2009/01/30/paulson-defies-financial-crisis-and-posts-huge-gains/
* Advantage Plus Ltd +37.6%
* Advantage Ltd +24.0%
* Credit +18.5%
* Credit II +16.3%
* Enhanced +12.5%
* International +7.9%
* Partners +6.28%
* Partners Enhanced +12.65%
* Recovery Fund -.03%

2008 Results (through October)http://online.wsj.com/article/SB122480700238864977.html?mod=todays_us_money_and_investing
* Each of the three main funds are up between 15 and 25%

2008 Results (through February)http://www.reuters.com/article/mergersNews/idUSN1044882620080310
* Merger Arbitrage +4.3 to +9%
* Event Arbitrage +5.5 to +10%
* Credit Opportunities over +8%



Paulson's big bet against subprime led to the impressive 2007 results:http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aF2.5PL13F4o
* Paulson Merger Arbitrage +52%
* Paulson Event Arbitrage +100%
* Paulson Credit Opportunities +589%
* Paulson Credit Opportunities II +351.8%

Other 2007 Results:http://www.iimagazine.com/Rankings/rankingsHeFu100RGlobal08.aspx?LS=EMS204396
* Advantage Plus +158.56% on 5,589mm of capital
* Advantage +100.14% on 3,552mm of capital
* Enhanced +116.47% on 3,352mm of capital
* Paulson International +51.7% on 2,727mm of capital

2007 period results
* Paulson International Ltd up 12.89% in February 2007http://www.hedgefundintelligence.com/ar/Article.aspx?PositionID=22836

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