Situational Awareness Not Target of Predatory Shorts, S3 Says

Situational Awareness Not Target of Predatory Shorts, S3 Says The losses that forced hedge fund Situational Awareness to sell stocks at deep discounts appear to be the result of highly concentrated positions in crowded trades, rather than a concerted effort by short-sellers, according to the founder of a company that analyzes short positioning data. Instead of any clear pattern of “predatory trading,” S3 Partners’ data show there was no significant increase in short sales across the fund’s top holdings, according to the firm’s founder Bob Sloan. Rather, the data show that while short sellers increased bearish bets on some of the fund’s holdings, half of the top 10 saw short interest flat or declining.