"Most hedge funds that employ activist tactics outperform the broader market, according to data on the site ActivistDatabase.com... Steve Cohen, of SAC Capital Partners, for example, earned a whopping 52.4 percent in companies where he's owns at least a 5 percent stake and has fired warning shots that he might seek changes. Barry Rosenstein, of JANA Partners, has earned 50.7 percent by the same metrics, while Daniel Loeb, of Third Point Partners, has earned 30 percent, the Web site shows. In each case, they've vastly outperformed the S&P 500, according to data compiled on the site."

Of course, for anyone thinking about piggybacking on hedge fund positions, keep in mind that information contained within 13D filings do not always reflect current holdings. In addition, some hedge funds have actually failed miserably when it comes to activist intervention - in some cases, they are down as much as 30% in their activist positions, according to 13D sources.

NOTE: Please keep in mind that TradeKing does not specifically endorse any of the securities or trading strategies mentioned. Depending on your risk-reward profile, this trade may or may not be suitable for your portfolio. The stocks mentioned are for educational purposes only.

[image: Activist Action chart via New York Post]

Let's not forget Carl Icahn and YHOO.  Piggy backing that one would have meant a lot of pain.

Don't know, seems like all stocks are owned by one hedgefund or another or all. They do operate on different tighter parameters, than the single retail investor and are able to move with more flexibility. For now sticking with the buffet type stocks CAT and TC, FMD 2.5 calls not sure if I want to own them. using the options as a buying the underlying tool. GS buying a stake definetly a positive :0 gave FMD cash for the new school year IMO. I know i like CAT and TC :) worked at CAT for awhile, neat place to work.

Rosenfeild giving presentation on Sept 16 in CANADA on hedgefund streetwise blog.

I am surprised that Thomas Sandell isn't doing so well, but HNZ and Wendy's are more longer term picks and are more sensitive to commodity prices

For me If I only had two to pick from would be MSFT and TWTC -12% as of today.

the next two would be CAT and TC which I just bought and around +7%

Eric has strange choices and seem to run up quickly, if that is what your looking for. I like holding for awhile, ok sometimes too long or not long enough. aside from that. not bad.

Of course, some of them won't pick MSFT as their favorite but I do..

PEACE. 

Of late, Carl Icahn's success as an activist investor hasn't matched his reputation - Yahoo and WCI come to mind. The market seems to be especially good at catching up to winning strategies.

- The TradeKing Blog