BlackRock's Obsidian hedge fund posted 2019 returns of more than 13% - Business Insider

BlackRock's 23-year-old Obsidian hedge fund bested the average hedge fund, returning more than 13% in 2019 even after losing money in August. The fund, managed by Stuart Spodek, is fixed-income focused. The returns lagged the S&P and the overall bond market. The fund lost nearly 3% in August, Business Insider previously reported.Click here for more BI Prime stories.BlackRock's long-running flagship hedge fund Obsidian returned more than 13% in 2019, a source tells Business Insider. The fund, managed by Stuart Spodek, has roughly $1.7 billion in assets, and beat the average hedge fund, which returned more than 8% in 2019. Obsidian recovered from an August when it lost 3% in the month, putting its returns, at that point in the year, at 7.5%, Business Insider previously reported. The fund invests in rates, mortgages, and corporate credit, though its performance trailed both the S&P and the overall bond market. Still, last year was a bounce back one for the fund, which lost money in 2018. In fact, the performance in 2019 was the highest the 23-year-old fund has recorded in at least five years. Larry Fink's BlackRock, the world's largest asset manager, has a hedge fund suite that includes equity, event-driven, risk premia, and other strategies, the firm's website states. A spokesman for the manager confirmed the performance figures of the Obsidian fund. Read more: Billionaire Larry Robbins' Glenview Capital crushes 2019 with eye-popping returns after a year that lost the firm billionsRead more: $50 billion D.E. Shaw's flagship fund posted a 10.5% return in 2019, besting the average hedge fund