Image via Flickr/ International Monetary Fund

Soros Fund Management, and George Soros, reported a new position in Apple, Inc. (AAPL).  The Soros Fund Management 13F filing shows a new position of 66,800 shares in Apple with a market value of $26.45 million. Carl Icahn also recently announced his position in Apple on Twitter. Apple appears to be a popular hedge fund play in advance of some major product releases.

However, the most interesting news from the filing may be the largest holding in the portfolio. Soros now holds a massive put on the S&P 500 ETF (NAR: SPY) of 7.8 million shares with a market value of $1.28 billion.  This position represents 13.54% of his total portfolio. It is an increase of 5.18 million shares over the previous 13F filing. The next largest equity holding is Google, Inc. (GOOG), with 396,953 shares representing 3.13% of the total portfolio.

The market should take notice when a famed investor like Soros takes such a massive bearish position. Soros is known for having made bold moves in the past, and has been accused of breaking down national currencies. He made around $1 billion on one day in 1992 when taking a bearish position against the pound sterling. There were rumors earlier this year that he made a massive profit betting against the yen.

However, it is difficult to decipher the meaning of the position. The 13F filing only discloses the position was entered into during the 2^nd quarter, but does not narrow down dates of entry.  Still, when an investor like Soros takes a huge bearish position, it behooves investors to take notice. Only time will tell if Soros gets it right.

Disclosure: The author has no position in any of the stocks mentioned, and does not intend to initiate a position in the next 72 hours.

Joshua Reider

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