In an attempt to provide a suitable answer to the question the topic proposes on AMC hedge funds, it would be out of place to state emphatically that there are hedge funds on AMC without commenting on what has played out to make that the present reality.
Nobody needs to be told that AMC is shorted. Verifiable research has shown that over ten financial institutions are shorting AMC Stock this year alone.
While short-sellers are receiving AMC Entertainment’s stock, hedge funds betting against it have lost billions from the ongoing meme stock frenzy.
However, it would be customary to give a detailed definition of the concept behind hedge funds, the very idea it represents, what AMC is about, and how shorting, loss, and recovery can find expression in hedge funds.
Table of contents
What Are Hedge Funds?
According to Investopedia, hedge funds are those actively managed investment pools whose managers use a wide range of strategies, often buying with borrowed money and trading esoteric assets, to beat average investment returns for their clients.
They are considered risky alternative investment choices.
What is AMC, and what does it stand for?
WallSrestMojo has it that the abbreviation AMC is an acronym for Asset Management Company (AMC), which refers to a fund house that pools money from various sources and invests it in purchasing capital on behalf of its investors.
These firms make necessary decisions about where, when, and how much to invest in assets.
However, the above definition gains expression in business, but according to Wikipedia, and in direct association with AMC stock of trade in hedge funds, AMC Entertainment Holdings, Inc becomes a network that owns and operates the eponymous cable channel and its siblings, IFC, We TV, and Sundance TV; the art house movie theatre IFC Center in New York City; the independent film companies IFC Films and RLJE Films; the anime licensor Sentai Filmworks; and the premium subscription streaming services AMC+, IFC Films Unlimited, Acorn TV, Allblk, Shudder, Sundance Now and HIDIVE.
Related: 20 Best-Paid Hedge Fund Managers In 2022
Shorting on AMC Hedge Funds
While our focus in this query is centred around the ten most recent financial institutions’ hedge funds that are currently shorting AMC, it is still needful to shed some light on the idea of shorting as it relates to AMC on hedge funds.
Shorting represents the idea an investor strategically uses to anticipate when the price of a security will fall, especially on a short-term basis. Shorting an asset, especially concerning hedge shorting, involves undertaking contracts that hedge against potential losses in an owned investment by selling at a specified price.
It will be recalled that in the first quarter of 2022, Ray Dalio, the billionaire owner of the world’s largest hedge fund (Bridgewater Associates), according to Tokenist, made some exciting bets in the last quarter and bought over 21,000 AMC shares in Q1 2022.
Nevertheless, the Kiiky research team has come up with a carefully computed table as of the 31st of March 2022 that shows the fund/manager name of the top twelve shareholders of AMC, their shares, and their value.
Scroll down for more details about the table.
| Fund/Manager | Shares | Value |
| De Shaw David Shaw | 11.61M | $286.02M |
| Coatue Management Philippe Laffont | 519.52K | $12.80M |
| Gotham Asset Management Joel Greenblatt | 110.77K | $2.73M |
| Renaissance Technologies Jim Simons | 1.84M | $45.41M |
| Schonfeld Strategy Advisor Steven Schonfield | 164.20K | $4.05M |
| Millennium Management Israel Englander | 849.72K | $20.94M |
| Two Sigma Advisers John Overdeck | 143.07K | $3.52M |
| Agr Capital Management Cliff Asness | 180.35K | $4.44M |
| Tudor Investment Paul Tudor Jones | 13.15K | $324K |
| Eaton Vance Management Jason Kritzer | 213.71K | $5.27M |
| Citadel Advisors Ken Griffin | 88.64K | $2.18M |
| Bridgewater Associates Ray Dalio | 27.07K | $667K |
Nevertheless, Franknez reports in an article published on the 15th of March 2022 that numerous hedge funds and financial institutions are currently shorting AMC Entertainment. Here’s a list:
- Simplex Trading LLC
- Susquehanna International Group LLP
- Citadel Advisors LLC
- 683 Capital Management LLC
- Anchorage Capital Group LLC (Defaulted)
- Group One Trading LP
- Wolverine Trading LLC
- Bank of America Corp DE
- Millennium Management LLC
- Picton Mahoney Asset Management
Related: How Do Hedge Funds Make Money?
Losses On AMC Hedge Funds
There have been losses on AMC Hedge Funds, which adds credence to the fact that high rewards come with high risks, and this is where it becomes advisable never to overleverage on investments.
While AMC stock remains shorted, Adam Aron’s selling already drove AMC stock down. There is equally the case of the impact of Omicron and Covid news, which has remained a system working against AMC hedge funds.
When Will AMC Hedge Funds Recover?
There is no gainsaying that hedge funds have suffered billions in losses on AMC and other short-selling schemes. However, there have been a few analyses and algorithm-based forecasting tools about what lies ahead of the much-talked-about AMC stock.
The implication is that any trader must conduct proper research before any trading action is taken carefully.
Again, Wall Street analysts have a projection put up by MarketBeat just last month that AMC stock stands the chance of plunging right into an average price of $6.75 in a year.
But on the other hand, Wallet Investor gave an optimistic AMC stock forecast, suggesting the stock could end in 2022 at an average price of $18.89.
In clear-cut attempt terms and the way of giving a credible answer on the recovery of AMC hedge funds, we may need to consider factors like continuous innovation from the company, the strength of the community, the company’s relationship with its shareholders, and even trader/community sentiment.
From this viewpoint alone, AMC Stock surged again, and there would be a massive recovery of the hedge funds.
Related: How to Invest in Hedge Fund in 2022 | Sure Things You Must know
Frequently Asked Questions
A couple of financial institutions are currently shorting AMC Hedge Funds, and here is a list of the top ten companies shorting AMC Hedge Funds;
De Shaw
Coatue Management,
Gotham Asset Management,
Renaissance Technologies
Schonfeld Strategy Advisor
Millennium Management,
Two Sigma Advisers,
Agr Capital Management,
Tudor Investment
Eaton Vance Management
Citadel Advisors
Bridgewater Associates
According to Investopedia, hedge funds are regarded as those actively managed investment pools whose managers use a wide range of strategies, often buying with borrowed money and trading esoteric assets, to beat average investment returns for their clients. They are considered risky alternative investment choices.
WallSrestMojo has it that the abbreviation AMC is an acronym for Asset Management Company (AMC), which refers to a fund house that pools money from various sources and invests it in purchasing capital on behalf of its investors. These firms make necessary decisions about where, when, and how much to invest in assets.
However, the above definition gains expression in business, but according to Wikipedia, and in direct association with AMC stock of trade in hedge funds, AMC Entertainment Holdings, Inc becomes a network that owns and operates the eponymous cable channel and its siblings, IFC, We TV, and Sundance TV; the art house movie theatre IFC Center in New York City; the independent film companies IFC Films and RLJE Films; the anime licensor Sentai Filmworks; and the premium subscription streaming services AMC+, IFC Films Unlimited, Acorn TV, Allblk, Shudder, Sundance Now and HIDIVE.
Conclusion
The discourse on AMC Hedge Funds may not be complete without emphasizing that despite the losses and the shorting coming from financial institutions, Hedge Funds on AMC will recover over time.
References
- hedgefollow.com – Hedge Funds with large stakes in AMC
- tokenist.com – Ray Dalio’s Hedge Fund Bought GME and AMC Shares in Q1 2022
- franknez.com – Is AMC Shorted? Top 10 Institutions Driving the Stock Down
- finance.yahoo.com – Hedge Funds Are Betting On AMC Entertainment Holdings Inc (AMC)
- franknez.com – Will AMC Stock Go Up? [2022 Deep Dive]
- capital.com – AMC stock forecast: red flags all over as cash keep shrinking
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