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Adage Capital Management LP

Last Updated: 12/3/2020

Adage Capital Management LP is a Limited Partnership that started in 2001 and is primarily owned and controlled by Bob Atchinson and Phill Gross.

ACM manages ACP primarily through industry‐specific portfolios that are managed by analyst/portfolio manager teams or individuals. ACM’s analysts focus on adding value by stock selection based on intra‐industry fundamental analysis. In addition to taking long positions, ACM uses leverage, sells securities short, and invests in derivatives, U.S. and non‐U.S. equities and private securities. In addition, ACM may from time to time, as it determines in its discretion, utilize analysts focusing on additional methodologies for identifying investments for ACP, including risk arbitrage and other event driven opportunities. All limited partner investors in ACP share in gains and losses in proportion to their investment in ACP.

Adage Capital Management LP operates out of an office in Boston, MA. Based on the Form ADV filed on 2020-03-11 00:00:00, the investment firm is comprised of 54 employees, only 41 of whom performs investment advisory functions.

Fact Sheet

      Name: Adage Capital Management LP
      CRD No: 160679
      Filing Recorded: 2020-03-11 00:00:00
      Year of Origin: 2001
      Employees: 54
      Clients: 1
      AUM: 45,471,401,992
      Management Fee: Unknown Percent
      Performance Fee: Unknown Percent
      Client Type: Pooled Investment Vehicles
      Assets Traded: Unspecified


Investment Strategy

According to the brochure submitted to IAPD, Adage Capitals investment strategy is as follows:

The investment objective of ACP is to provide investors with compound annual long‐ term returns that are superior to the returns of the S&P 500 Index (the ʺIndexʺ). ACM seeks to achieve its objective through stock selection based primarily on intra‐industry fundamental analysis with a dedicated focus on intra‐industry valuation methodologies. Primary research is a central component of ACM’s investment process.

In selecting ACP’s investments, ACM utilizes a staff of portfolio managers and equity analysts dedicated to tracking specific sectors represented within the Index that utilize a stock valuation methodology designed for each specific sector. Such investments include long positions and over‐weighted positions in securities of companies, both within and outside of the Index, that ACM believes to be attractively valued, with an emphasis on those companies likely (in ACMʹs view) to outperform other companies within their respective industries or sectors. ACPʹs portfolio also includes under‐ weighted positions, and in some cases, short positions in securities of companies within and outside the Index, that in the view of ACM are overvalued by the market, with an emphasis on companies likely (in ACMʹs view) to underperform other companies within their respective industries or sectors evaluated and modified to reflect the constantly changing factors within each industry.

Methods of Analysis

In addition, Adage Capitals methods of analysis include:

Investment positions include equity and equity‐related securities and other financial instruments, as well as international securities and private securities. Derivative instruments, such as options, futures (with an emphasis on financial futures and subject to the regulatory requirements described below), forward contracts and swaps, may be used to attempt to hedge existing long and short positions, as well as for independent profit opportunities.

ACM currently also utilizes one non‐industry specific analyst, focusing on risk arbitrage opportunities for ACP. In addition, ACM may in the future employ additional analysts and/or portfolio managers, focusing on non‐industry specific methodologies for identifying investments for ACP, and in connection with such methodologies ACM may cause ACP engage in additional types of investments, such as leveraged trading and/or risk arbitrage or other event driven trading.

Top 10 Holdings from Form 13F

Reporting Period: 09/30/2020

Issuer Share Value(1000s) Put/Call
APPLE INC 18,107,796 2,097,064
ROYALTY PHARMA PLC 46,015,330 1,935,865
MICROSOFT CORP 8,534,186 1,794,995
AMAZON COM INC 510,083 1,606,114
FACEBOOK INC 2,708,435 709,339
BURLINGTON STORES INC 2,377,934 490,068
ALPHABET INC 324,607 475,744
ALPHABET INC 314,561 462,279
PROCTER AND GAMBLE CO 2,782,673 386,764

Historical 13F Filings

EdgeGiant has compiled all 13F filings since Q2 2013 for your convenience. You can view historical portfolio position forAdage Capital Management LPin our 13F section HERE.

To get the comprehensive list of holdings that fall under 13F regulatory guidelines, check out our write up on how to access and use 13Fs in your personal investment decisions.

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Historical Portfolio Holdings for Adage Capital Management LP