Muddy Waters Capital LLC

Muddy Waters Capital LLC provides discretionary investment management primarily to pooled investment vehicles and two institutional separately managed accounts (SMAs). Its platform includes global opportunistic master/feeder funds (short-activist strategies), a Vietnam-focused fund, a resources-focused fund, and a special purpose vehicle that holds a single issuer.

The firm pursues an opportunistic, research-driven approach that ranges from short-biased single-name activist positions to sector- or region-specific mandates, and it uses a broad set of instruments — equities, credit, foreign exchange and derivatives (including options, futures, swaps and credit default swaps). Muddy Waters has full discretionary authority for its Clients, may offer co-investments alongside funds, and runs the SMAs under resource-related mandates with the SMAs bearing trading, financing and other transaction expenses.

The brochure discloses several activities that are less common among peer investment managers: Muddy Waters has claimed exemptions under CFTC Rule 4.13(a)(3) relating to commodity pool operator requirements and describes affiliations and roles tied to commodity trading and trading advisory activities, and it explicitly notes use of derivatives potentially in separately managed accounts. The firm also integrates publicly disseminated due-diligence research into its strategy and discloses arrangements to compensate outside researchers (including profit‑sharing on trade ideas), features highlighted as part of its activist research model.