Top positions of Soros Fund Management

Soros Fund Management reduced its position in precious metals (GLD) and increased its position in the communication sector (VOX). Communication is a cyclical industry and very capital intensive. A great deal of capital expenditure is required to expand business activity. When the business cycle starts to recover, we see expansion in economic activity. Corporate earnings also pick up at that time, and fund managers shift their investment towards the cyclical sector.

Soros Fund Management Is Placing Its Bets on This Industry

The communication industry is at the top of the list

As the firm shifts its focus towards the communication industry, we can assume that the firm is expecting the business cycle will pick up in the economy (QQQ) (IWM) (VFINX) in the near term. Communication represents 27.2% of the firm’s portfolio. Liberty Broadband (LBRDK) is its top holding and constitutes 23% of the firm’s portfolio. According to an institutional ownership report, Soros Fund Management is the fourth-largest investor in Liberty Broadband, holding about 8.8 million shares worth $608.3 million as of June 30, 2016. The largest investor in LBRDK is Jana Partners with 9.2 million shares as of June 30, 2016.

Dish Network (DISH) constitutes 1.4% of Soros’ portfolio. The firm bought 0.7 million shares worth $37.1 million. In the next part of this series, we will analyze Bridgewater Associates’ holdings as of June 30, 2016.

Latest articles

On June 25, the soft economic data isn't an isolated case. We have been getting a flurry of dismal data points. The US economy added only 75,000 non-farm jobs in May.

French retail giant Carrefour has agreed to sell an 80% stake in its China operations for ~$705 million to, an Alibaba (BABA) backed company. While China represents a massive opportunity with its almost 1.4 billion population, it has not been an easy market for foreign companies, at least when it comes to retail and e-commerce.

On June 25, US Secretary of Agriculture Sonny Perdue told CNN in an interview that the US-China trade war has impacted US farmers. He said that farmers “are one of the casualties” of the trade war.

25 Jun

Hang Seng and Nikkei 225 Lose amid Trade Worries

WRITTEN BY Mayur Sontakke, CFA, FRM

After rising marginally yesterday, Hong Kong’s Hang Seng Index fell today. The index lost 1.15% to end at 28,185.98. Only seven stocks in the index rose, while 39 declined. Four remained unchanged. Tencent Holdings (TCEHY) was one of the worst performers with a 1.8% fall.

Square (SQ) was absent from the list of the inaugural members of the Libra Association, the entity that will ensure that Facebook’s (FB) Libra cryptocurrency works as intended. Nearly 30 companies have joined the Libra Association.

Kroger (KR) stock fell 2.2% on June 20—the day the company announced its results for the first quarter, which ended on May 25. The negative sentiment for the stock continued.