Andurand’s Oil Hedge Fund Plunge Exceeds 50% in Worst Ever Loss

Oil trader Pierre Andurand’s losses deepened this month, with his hedge fund slumping to its worst-ever phase of decline.

(Bloomberg) — Oil trader Pierre Andurand’s losses deepened this month, with his hedge fund slumping to its worst-ever phase of decline.

His main Andurand Commodities Discretionary Enhanced Fund, which makes leveraged bets, fell by another 7% this month through June 23, extending this year’s losses to about 51%, according to an investor letter seen by Bloomberg News.

It’s not clear what led to the recent losses. Andurand earlier this year predicted that oil prices may exceed $140 a barrel by the end of 2023. But those bullish calls have met with the commodity drifting lower on elevated inventory levels, resilient supplies from Russia and rising shipments from two of OPEC’s most troubled exporters, Iran and Venezuela.      

A London-based representative for Andurand Capital Management declined to comment.

The money manager, who powered a more than sevenfold increase in his clients’ invested capital over the previous three years, has been hit by his worst-ever phase of losses for the strategy. The fund that Andurand runs with no set risk limits has lost money every month this year.

The Bloomberg hedge fund index was up 1.4% through May, while those focused on commodities trading were down 0.3% on average.

–With assistance from Grant Smith.

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