Insana’s Indirect Hit Parade

While Capt. Ron Insana buckles up his life jacket and pushes women and children aside in his rush to the first lifeboat, water keeps rising around investors manacled in the hold of SS Insana Capital Partners Legends Fund LP.

Carl Icahn's losing streak continued into the second quarter, as his investment vehicle swung to a loss amid souring investments and a 9 percent decline in his hedge funds.
No Yahoos for Carl
by Kaja Whitehouse
The New York Post Aug. 13 2008

According to its Jul. 2008 performance report, Insana’s Legends Fund has 4.72 percent of its assets in Icahn Partners Fund LP, which offers semi-annual liquidity...after a three-year lock-up that still has the best part of two years to run.

Arguably more problematic is its stake in the $8.3 billion Atticus European LP, which accounted for 6.1 percent of Legends’ assets in July; according to the fund’s 2007 financials, the investment is subject to a 25 month lockup, leaving it about a year to run, but only offers liquidity every two years. Hedge Fund Alert reported Wednesday:

Atticus Capital has racked up more losses in recent months, a development that is sure to strike a nerve with investors who were already upset with the firm for stashing one of its positions in a side pocket.

Adding to sizable losses it had already accumulated in the first few months of this year, the New York firm’s flagship Atticus Global fund saw its year-to-date returns fall to minus-22.1% by the end of July — including a 2.5% dip that month. Even excluding the side pocket, the $5.2 billion vehicle was down 17.7% during the January-July span and down 3.3% last month.

The side pocket, which accounts for about 20% of the firm’s Atticus Global and Atticus European funds, is down 26.6% for the year, after posting a 2.3% gain in July. Atticus told investors in March that it would create the separate basket on April 1 for stock it holds in European securities exchange Deutsche Boerse...

Atticus European was up 27.9 percent last year, according to Hedge Fund Alert.

Seven-Month Freefall Continues For Atticus
Hedge Fund Alert Aug. 13 2008
(Article not directly linkable)

Earlier on NakedShorts:

Insana Capital doesn’t leave ’em laughing
Aug. 12 2008

Insana upgrades, from Fort Lee to Scamford
Aug. 11 2008