© Reuters. FILE PHOTO: A branch of First Republic Bank in New York City, US on April 28, 2023. REUTERS/Shannon Stapleton/File Photo
Written by David Randall and Carolina Mandel
NEW YORK (Reuters) – Billionaire investor Jim Simmons Renaissance Technologies was among the prominent funds to take positions in a beleaguered regional bank. First Republic Bank (OTC:) during the first quarter before the company’s collapse on May 1, according to securities filings issued Monday.
Renaissance Technologies LLC, which has more than $100 billion in assets under management, purchased approximately 7.1 million shares of First Republic during the first quarter and is holding them as of March 31, when they closed at $13.99 per share.
The securities filings did not show whether the company sold any of its positions before the company was forfeited on May 1 by regulators, making it the biggest bank failure since the 2008 financial crisis.
Meanwhile, Boston-based Adage Capital Partners added a new location to nearly 185,000 shares of First Republic during the quarter, while New York-based Alpine Global Management LP added a new location to nearly 1.7 million shares in the company, filings show.
Renaissance Technologies, Adage Capital and Alpine Global did not respond to requests for comment for this story.
The positions are disclosed in quarterly stock packages known as 13-FS. As we look back, this snapshot shows owned funds on the last day of the quarter and is one of the few ways hedge funds and other institutional investors have to announce their positions. May not reflect current holdings.
Among the notable sellers of First Republic shares was Ray Dalio’s Bridgewater Associates, one of the world’s largest hedge funds, which closed its position in the company amid a broad portfolio shift away from financial firms.
The fund has liquidated its positions in major US banks including Bank of America Corp (NYSE: ), Goldman Sachs Group Inc (NYSE:), and Morgan Stanley (NYSE:), while selling regional banks including PacWest Bancorp and PNC Financial Services Group Inc (NYSE:).