Key Takeaways
- • Lone Pine lost roughly 30% in Q3 and a further 8.8% in October, leaving the equity long-short fund down 7.5% before fees for the year, according to Bloomberg and the WSJ as cited by eFinancialCareers.
- • Lone Pine co-CIO Rahul Anne, appointed in September, now leads alongside David Craver after fellow co-CIO Kelly Granat left for a tech investment firm in September.
- • Arini, run by 36-year-old Hamza Lemssouguer, is down 32% on the year, which the fund attributes to dislocation in CCC-rated credit and "targeted shorting at uneconomic levels."
- • The five largest positions in Arini's Master Fund account for two-thirds of net asset value, and the fund says it is holding them through their catalysts.
- • Two Millennium credit trading pods are closing, with Dominick Maggio and Amit Agrawal (Abacore Capital) and Mark Meenan and David Ulrich (Twin Lights) departing.
Summary
Two hedge funds are under pressure after sharp drawdowns, according to eFinancialCareers, which cites Bloomberg and the Wall Street Journal. Lone Pine, the equity long-short manager founded by Steve Mandel, was up 43% in the first half of the year but then lost 30% in the third quarter. The WSJ reported a further 8.8% loss in October, leaving the fund down 7.5% before fees for the year. The article attributes the reversal to a sharp pullback in AI stocks and losses on short positions, which had been the main contributor to returns in the first half.
Rahul Anne, appointed co-chief investment officer in September, previously worked as an investment banking analyst at Goldman Sachs, spent two years at KKR, and joined Lone Pine in 2016. Co-CIO Kelly Granat left in September to join a technology investment firm, leaving Anne and David Craver, who has been at the firm for nearly 30 years, to lead the portfolio.
Arini, a fund led by Hamza Lemssouguer, is down 32% on the year according to Bloomberg. In an investor letter, the fund blamed dislocation in CCC-rated credit and "targeted shorting at uneconomic levels," and said it plans to add diversification while standing by its core theses. Bloomberg reports that the five largest positions in its Master Fund make up about two-thirds of net asset value. The fund stated: "Mark-to-market volatility of this kind is inherent in a concentrated, contrarian mandate." Commentators have pointed to an August 2025 investment committee pitch in which Lemssouguer emphasized portfolio construction. The article also notes that US CEO Gavin Yates left for Citadel last August.
Elsewhere in the report, Millennium is closing two credit trading pods, with Maggio and Agrawal, formerly of Abacore Capital, and Meenan and Ulrich, who ran Twin Lights, leaving the firm, according to Bloomberg.
Rahul Anne, appointed co-chief investment officer in September, previously worked as an investment banking analyst at Goldman Sachs, spent two years at KKR, and joined Lone Pine in 2016. Co-CIO Kelly Granat left in September to join a technology investment firm, leaving Anne and David Craver, who has been at the firm for nearly 30 years, to lead the portfolio.
Arini, a fund led by Hamza Lemssouguer, is down 32% on the year according to Bloomberg. In an investor letter, the fund blamed dislocation in CCC-rated credit and "targeted shorting at uneconomic levels," and said it plans to add diversification while standing by its core theses. Bloomberg reports that the five largest positions in its Master Fund make up about two-thirds of net asset value. The fund stated: "Mark-to-market volatility of this kind is inherent in a concentrated, contrarian mandate." Commentators have pointed to an August 2025 investment committee pitch in which Lemssouguer emphasized portfolio construction. The article also notes that US CEO Gavin Yates left for Citadel last August.
Elsewhere in the report, Millennium is closing two credit trading pods, with Maggio and Agrawal, formerly of Abacore Capital, and Meenan and Ulrich, who ran Twin Lights, leaving the firm, according to Bloomberg.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.