Here Are The Hedge Funds That Got Crushed Buying PG&E In The Fourth Quarter

Are hedge funds, especially of the value-investing bent, merely trackers, hoping for stock price mean-reversion?

That’s one conclusion that emerges when looking at all the names who flooded into PG&E stock in the fourth quarter, when the now defaulted utility tumbled by 48% as its exposure to the deadly California fires emerged to be in the tens of billions, even as its escalating solvency and liquidity troubles became apparent to everyone.

And yet, despite facing a life-or-death crisis, which just a few weeks after the end of the quarter would eventually culminate in a full-blown bankruptcy – the second for California’s largest utility – some of the most respected hedge funds rushed to buy the stock of PG&E, and as Bloomberg notes, Anchorage Capital Group and BlueMountain Capital Management led the way (since the end of the quarter, PG&E stock has tumbled another 35%).

Not everyone lost money for their investors, however: there were at least 10 hedge funds that realized which way the wind was blowing, and decided to get out of Dodge as intact as possible while they still could: