(Harvest) Earlier in October, we wrote about Dan Loeb’s activist hedge fund Third Point, and highlighted sources of alpha in its portfolio. This week, we examine H Partners, an even more concentrated activist fund founded by Third Point alum Rehan Jaffer. H Partners was founded only a year after Jaffer parted with Third Point. In control of his own fund, Jaffer has outperformed the market by a wide margin, focusing on distressed companies over the past 10 years. He developed an appetite for these types of investments as an investment banker early in his career. That same appetite has won H Partners board seats and driven leadership changes at its handful of target companies, with impressive results.

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