Chicago Tribune – Billionaire Carl Icahn’s activist hedge funds posted their first quarterly decline since they opened three years ago because of volatile markets and losses on stocks including WCI Communities Inc. and Lear Corp.
The funds, run by Icahn Capital Management LP, together fell 1.5 percent in the third quarter, according to a recent regulatory filing by Icahn Enterprises LP, parent of the fund-management business.
Results included $51.5 million of losses from WCI, the Florida home builder that Icahn unsuccessfully sought to acquire in February. The funds had a $33.7 million loss on their investment in Lear, the manufacturer of automotive seats that also rejected a buyout offer from Icahn.
Icahn buys stock in firms that he deems undervalued, which have included Schaumburg-based Motorola Inc., then pushes management to take steps to boost share prices.
