Third Point LLC

8:40 am
Thu February 6, 2014

Raimondo's Money Moves Criticized By Wall Street Journal

Raimondo has received criticism from the Wall Street Journal for moving state funds out of a high-yield hedge fund.

The Wall Street Journal’s editorial board is criticizing Gina Raimondo over a move to drop the most successful hedge fund in the state pension plan. The hedge fund is run by a trustee of a conservative New York think tank criticized by teachers’ unions.

The hedge fund Third Point LLC offered a 25 percent return to Rhode Island’s pension fund over the last year. That’s far better than the 14 percent earned by the pension fund as a whole. Yet the state Investment Commission, which is chaired by Raimondo, voted last week to divest its holdings in Third Point.

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