Pierre Andurand (February 1977 in Aix en Provence, France) a businessman and hedge fund manager, specializing in the oil market.
He is married to the Russian model Yevgenia Slyusarenko. But be warned, Andurand is also a martial arts fan who then turned to kickboxing as a means to keep fit while working as an oil trader.
He was rated top 20 highest-earning hedge-fund managers, according to Forbes Magazines (2008).
Pierre Andurand also has an interest outside the investing world. He is a majority shareholder of Glory Sports International, the parent company of the Glory World Series international kickboxing league. He was a keen swimmer in his youth, Andurand was a member of the French National Junior Swimming Team in 1993 and 1994.
Pierre Andurand was born in the French city of Aix en Provence.
At eight years old, he moved with his family to the French island of Réunion, off the African coast. He spent six years there before returning to Aix en Provence.
Education; Andurand attended the National Institute of Applied Sciences ( INSA) where he obtained an MSc in Applied Mathematics. He then moved to Paris where he obtained an MSc. in International Finance from the HEC School of Management.
After graduation Pierre Andurand was soon recruited by Goldman Sachs to work as an oil trader at Sachs’ commodities trading unit in Singapore.
Pierre Andurand then joined the Bank of America Singapore as a Principal in oil trading. He then joined Vitol in Singapore as a trading manager.
Vitol is the world’s largest oil trading company, shipping in excess of 200 million tons of crude oil per year.
Pierre Andurand then moved to London in 2004 and was made a partner. In one particularly successful year’s trading, Andurand’s bonus payment was $20 million. He was the top oil trader in the company.
In October 2007, Andurand co-founded the hedge-fund investment group BlueGold. The BlueGold Global Fund was then launched in February 2008 with $300 million assets under management.
Its returns were described by the New York Post as being “eye-popping”. Performance was 210% in 2008, 55% in 2009, 13% in 2010, and -34% in 2011.
BlueGold was closed in April 2012, returning close to 99%.
Pierre Andurand co-founded The BlueGold Global Fund, launched in February 2008 with $300 million assets under management.
Its returns were described by the New York Post as being “eye-popping”. BlueGold was closed in April 2012, returning close to 99%.
Pierre Andurand’s oil trading style stands out from the herd. He is a contrarian investor that likes to take bold bets. He has a good understanding geopolitics. He follows OPEC meetings.
Pierre Andurand uses technical analysis in his trading. He also studies the futures market to determine spot prices.
His recent call that oil will return to $100 a barrel caught the attention of many oil traders. Andurand fund was nursing losses in the second half of 2017 as many believed that demand for oil would fall with the electrification of transportation. But now it’s in the green.
“I don’t really buy that the cost of production has gone down structurally or that electric car will have a big enough impact on demand” said Andurand.
His latest call; $100 oil by 2020. In light of the geopolitical uncertainties in the Middle East and the most pro-Zionist US President in history which is likely to ignite regional tensions, I would not bet against that view. But in the long run higher oil prices could also send oil counts rising along with supplies.
Moreover, high oil prices would stimulate demand for energies substitutes and accelerate the electrification of transportation. So those factors could also act as a drag on oil prices too.
I am also wondering whether Pierre Andurand’s latest call; $100 oil by 2020 is factoring in the devaluation of USD because of that trend if it continues could see all commodities (priced in USD) rise.
I don’t really buy that the cost of production has gone down structurally or that electric car will have a big enough impact on demand – Pierre Andurand
In a recent interview (See video below), Pierre Andurand explains that the oil market is a mix of supply-demand balance.
Moreover, increasing oil output requires capital expenditure (capex) which is slower to respond than the daily fluctuation in oil price. So higher oil prices signal to producers to ramp up production but there is a delay between a new trend of higher prices and increase in oil output. That delay is called a time lag which can also provide a short-term buying opportunity for traders/ speculators as suppliers take time adjusting to the new market conditions.
Pierre Andurand Capital interviewed at the Hedge Fund Intelligence European Summit in Paris.
Market is a mix of supply-demand balance, understanding geopolitics, technicals .. and hedging influences – Pierre Andurand
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