Hunterbrook Capital, the journalism-powered hedge fund launched less than two years ago, generated a 23% net return in the first nine months of 2025, outperforming both hedge fund benchmarks and broader equity markets as its strategy evolved beyond short selling, according to a report by the Wall Street Journal.
The New York-based firm, which launched in 2023 with $100m in capital, initially built its reputation on a news-driven strategy that paired investigative journalism with equity short positions. An affiliated newsroom, Hunterbrook Media, publishes in-depth investigations into corporate conduct, with the hedge fund trading on insights derived from that reporting once cleared by compliance.
However, 2025 marked a strategic shift. According to an investor letter seen by The Wall Street Journal, a significant portion of Hunterbrook’s gains came from long positions identified through positive or underappreciated developments uncovered by its journalists, highlighting that favourable news can be as profitable as exposés.
One of the fund’s standout trades involved Joby Aviation, a developer of electric vertical take-off and landing aircraft. While Hunterbrook had previously shorted similar companies it believed were overhyped, reporting by Hunterbrook Media revealed evidence of previously undisclosed flight testing activity by Joby. Anticipating a reassessment by the market, Hunterbrook Capital established a long position ahead of publication and exited after the stock rallied, aided by a subsequent announcement on expanded manufacturing capacity.
Chief executive Nathaniel Horwitz wrote in a July investor letter that investigative reporting often uncovers not only misconduct, but also competitors positioned to benefit from stronger governance and execution. “Scrutinising wrongdoers, reporters uncover companies poised to benefit from doing business right,” he said.
Hunterbrook’s structure has drawn attention within the hedge fund industry, where investigative journalists have long been employed as analysts, but rarely embedded so closely with portfolio construction. The firm maintains that strict compliance procedures separate editorial work from trading decisions, with its chief compliance officer reviewing newsroom findings to ensure no material non-public information is used.
Co-founded by Horwitz and publisher Sam Koppelman in 2023, Hunterbrook received seed backing from investors including Marc Lasry. While neither founder had prior experience running hedge fund portfolios, Horwitz previously worked at RA Capital Management investing in and building biotechnology companies.
The fund experienced losses in the first quarter of 2025, in part due to short positions against consumer-facing companies. From April, Hunterbrook adjusted its approach, increasing its allocation to long positions and extending holding periods.
