Hedge Funds Performance

Balestra’s pessimism pays off


Returns turn positive in chaotic trading days of August

The doomsday outlook of Jim Melcher, founder and chief investment officer of Balestra Capital Partners, is finally paying off, with Balestra joining the ranks of hedge funds who are making money in today’s turbulent markets.

After two-and-a-half lackluster years, the $1.6 billion global macro fund has come back strong, posting a 6.5% return in the first 10 days of August. Year-to-date, the fund is up 1.06%. Balestra’s latest winning streak began in July, when it gained 2.74% net for the month after falling by 5.10% from January to