Lots of other stockpickers off to a strong start with some hedge fund long picks up well over 20% YTD (Appaloosa, Pabrai, ESL all up over 20% and a few like DAFNA and QVT up well over 40%). Source: AlphaClone.
It is a fixture of investing that investors chase returns. They follow a manager with the hot hand, and once that manager (or strategy, or asset class) underperforms, they often sell at the worst time (and over and over again thus the DALBAR numbers). Anyways, lots of calls for Fairholme’s death after a terrible 2011, but they are certainly off to a strong 2012, up around 30% or so. I don’t have a position or any interest, just noting the rebound.
