paulson shorted subprime...so too did hfa

HFA SHORTED THE SUBPRIME....SO TOO DID PAULSON...UP 410%

From Marketwatch.....HFA reported that they were short the subprime, anyone know just how well they did? They alluded to "positive surprises" later in the year in one of their reports. I am holding stock and keep topping up as the panicked ones exit.

Also note AMP or ANZ have taken up a big tranche of stock.


[B]Paulson hedge fund up 410% this year

Subprime bet pays off for $20 billion hedge fund firm[/B]

By Alistair Barr, MarketWatch
Last Update: 7:27 PM ET Sep 7, 2007Print E-mail Subscribe to RSS Disable Live Quotes

SAN FRANCISCO (MarketWatch) - A hedge fund run by $20 billion firm Paulson & Co. has surged 410% so far this year as subprime bets paid off.

The Paulson Credit Opportunities fund, set up last year to take advantage of potential mortgage turmoil, returned 26.67% in August, leaving it up 410% in 2007, according to a person who has seen the firm's most recent performance update.

Another fund set up a little later, called Paulson Credit Opportunities II, jumped 32% last month, leaving it up 229.57% so far this year, the person added on condition of anonymity.

Paulson has been among the most aggressive hedge funds betting against the subprime mortgage business, which caters to poorer borrowers with blemished credit records. As delinquencies have increased and turmoil has spread across other parts of the credit market, some hedge funds have done well, while others have collapsed.

Paulson's flagship merger arbitrage fund didn't do as well during August, rising 0.56%. Still, that fund is up more than 43% so far this year, the person noted.

An event-driven fund run by the firm climbed 5.21% in August, leaving it up 68.52% in 2007, the person also said.

Alistair Barr is a reporter for MarketWatch in San Francisco.