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Full John Paulson Q3 Shareholder Letter


jacobwolinsky

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Thanks, Jacob!

 

Are his returns net of fees? If not, I would think the S&P 500 would've done close to as well, if not better, on a after tax basis for the Advantage funds (at least for the nonPlus versions).

 

Which fund are you referring to? Flagship? Let me know and Ill check the original version and tell you what I find.

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Thanks, Jacob!

 

Are his returns net of fees? If not, I would think the S&P 500 would've done close to as well, if not better, on a after tax basis for the Advantage funds (at least for the nonPlus versions).

 

Which fund are you referring to? Flagship? Let me know and Ill check the original version and tell you what I find.

 

I'm looking at the Paulson Advantage Ltd and LP. According to the letter, the returns are about 14% since inception. If that is over a 17 year period, I would imagine that isn't too much better than the S&P 500. Thanks again, Jacob!

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1994.09 SP500    466.96

2011.09 SP500 1,136.90

Rate                         5.4%

Paulson                 14.0%

Outperformance 8.6%

 

I assumed with 14% you meant compounded. Further, assuming my quick numbers are correct then it is actually outstanding. The SuperInvestors of GD ville outperformed by just over 6% and Buffett double that.

 

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1994.09 SP500    466.96

2011.09 SP500 1,136.90

Rate                         5.4%

Paulson                 14.0%

Outperformance 8.6%

 

I assumed with 14% you meant compounded. Further, assuming my quick numbers are correct then it is actually outstanding. The SuperInvestors of GD ville outperformed by just over 6% and Buffett double that.

 

Don't forget to add dividend reinvestment on that, too. I could be off, but let's say that adds 3% to total return. That brings up to 8.4%

 

If 14% is net, it's very good. If it is before fees, then it's not all that impressive.

 

For instance, 14% - 2.8 % (performance fee) = 11.2% - 2% (management fee) = 9.2%.

 

I'm assuming that after taxes it would be less than S&P 500 after taxes.

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