This Fund Manager Thinks Now Is One Of The Best Times To Invest In Activist Hedge Funds

After wrapping up a challenging year and losing 16% of their value in 2022 due to the broad-based slump in the stock market, many market watchers expected activist funds to hit the ground running in 2023, especially during the spring proxy season. However, the activist-related drama has been kept to a minimum so far this year as corporate managements choose to make deals rather than enter the ring with activists and risk a public smackdown.

New rules regarding corporate governance that were introduced toward the end of 2022 appear to favor activists. Company managements are now required to include all board nominees on their proxy ballots. They also must let shareholders mix and match the board members they vote for...