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Third Point Investors Ltd on Friday said its flagship Offshore Fund declined 3.7% in the first quarter as ‘US tariff announcements and the prospect of a global trade war weighed on markets’. The feeder fund that invests in the Third Point Offshore Fund said it ‘weathered these developments’ by making ‘opportunistic sales’ and taking its net and gross exposures to multi-year lows. The investment manager said it is ‘currently well positioned’ after adding new names selected for the current environment. The negative 3.7% return for the Offshore Fund during the first quarter compared to a negative 4.3% return for the S&P 500 Total Return Index. Third Point said the key negative contributors included Pacific Gas & Electric Co, TSMC, Carvana Co, Amazon.com Inc and Danaher Corp. ‘Over the past few weeks, the administration seems to have mitigated some of its more aggressive tariff objectives, however, the slowdown in deal-making, financing, and general economic activity continues,’ Third Point said. The company said it is awaiting the details of individual trade deals and is working with a wide spectrum of possible outcomes until it sees tangible results. Third Point said it has increased its investments in ‘event-driven, activist and risk arbitrage positions’ that it feels will perform well in a more turbulent market environment. It said it has reduced exposure to numerous market-sensitive positions, largely in the tech and consumer sectors. Shares in Third Point Investors closed down 1.2% at $25.70 in London on Friday. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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