UK hedge fund Caxton Associates finishes June up 2%; first half of 2025 up 14%, source says

UK hedge fund Caxton Associates finishes June up 2%; first half of 2025 up 14%, source says

UK-based hedge fund Caxton Associates has reported robust performance in the first half of 2025, finishing June with a 2% gain, according to sources familiar with the results. This brings the firm's first-half return to 14%, a significant achievement in a volatile market environment characterized by shifting US trade policies and geopolitical tensions [1].

Caxton Associates' success was driven by strategic positions in European defense and banking stocks, as well as trades related to U.S. dollar weakness. The firm's macro strategy, managed by Andrew Law, climbed 13.5% for the first half, while Caxton Global Investments rose 9.5%. These gains underscore the fund's ability to navigate complex market conditions and capitalize on emerging opportunities [1].

Discovery Capital Management, another macro-focused fund, also showed strong performance, rising 2.5% in June and bringing its first-half return to 12.5%. The firm has since reduced risk exposure to maintain flexibility amid market complacency concerns [1].

While some macro funds have struggled, Caxton Associates' performance stands out as a testament to its strategic acumen and ability to adapt to changing market dynamics. As the second half of the year unfolds, investors will be watching closely to see how the firm continues to navigate the challenging investing landscape.

References:
[1] https://www.hedgeweek.com/macro-hedge-fund-returns-diverge-amid-tariff-volatility/