Performance profile: MatlinPatterson surges


The word distressed can be used to describe more than just the strategy many hedge funds are pursuing these days. For most fund managers, the adjective could also describe recent performance. In the case of the MatlinPatterson Distressed Opportunities Fund, however, results are actually proving a source of excitement.

In May, the $300 million fund, which focuses on bank debt, credit, equities and credit default swaps, returned 10.84%, boosting its year-to-date gain to 16.76%. By comparison, the Absolute Return Distressed Index rose 0.95% for the month, leaving it with a loss of 1.49% for the year so far.