In the eyes of many traders, hedge funds are assumed to be bloated, outdated financial tools of an era lost to time. Although there are over 8,000 hedge funds with their doors open currently, this site focuses on the upper echelon of this group, about 525 funds. It is assumed that this group has its hands on the lion’s share of all hedge funds’ total capital, and by paying attention to their highest performing stock picks, we’ve revealed a number of investment strategies that have historically outpaced the market. Our small-cap hedge fund strategy outstripped the S&P 500 index by 18 percentage points per annum for a decade in our back tests, and since we’ve began to sharing our picks with our subscribers at the end of August 2012, we have outperformed the S&P 500 index by 33 percentage points in 11 months (find the details here).
Equally as useful, bullish insider trading sentiment is another way to analyze the stock market universe. Just as you’d expect, there are many incentives for an insider to drop shares of his or her company, but just one, very simple reason why they would buy. Several empirical studies have demonstrated the market-beating potential of this strategy if piggybackers understand where to look (learn more here).
What’s more, we’re going to examine the newest info for SunTrust Banks, Inc. (NYSE:STI).
Hedge fund activity in SunTrust Banks, Inc. (NYSE:STI)
Heading into Q3, a total of 32 of the hedge funds we track were long in this stock, a change of 3% from the first quarter. With hedgies’ positions undergoing their usual ebb and flow, there exists a few key hedge fund managers who were boosting their stakes substantially.
Out of the hedge funds we follow, Pine River Capital Management, managed by Brian Taylor, holds the largest position in SunTrust Banks, Inc. (NYSE:STI). Pine River Capital Management has a $44.8 million position in the stock, comprising 0.7% of its 13F portfolio. Coming in second is Crispin Odey of Odey Asset Management Group, with a $27.5 million position; 1.1% of its 13F portfolio is allocated to the stock. Remaining peers with similar optimism include Matthew Tewksbury’s Stevens Capital Management, Israel Englander’s Millennium Management and David Harding’s Winton Capital Management.
With a general bullishness amongst the titans, specific money managers have been driving this bullishness. Pine River Capital Management, managed by Brian Taylor, created the biggest position in SunTrust Banks, Inc. (NYSE:STI). Pine River Capital Management had 44.8 million invested in the company at the end of the quarter. Crispin Odey’s Odey Asset Management Group also initiated a $27.5 million position during the quarter. The other funds with brand new STI positions are Matthew Tewksbury’s Stevens Capital Management, Israel Englander’s Millennium Management, and David Harding’s Winton Capital Management.
How are insiders trading SunTrust Banks, Inc. (NYSE:STI)?
Bullish insider trading is at its handiest when the company we’re looking at has seen transactions within the past six months. Over the last 180-day time frame, SunTrust Banks, Inc. (NYSE:STI) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
Using the results demonstrated by Insider Monkey’s strategies, average investors should always keep one eye on hedge fund and insider trading activity, and SunTrust Banks, Inc. (NYSE:STI) is an important part of this process.
