Elliott Shorts British Oil Major Shell

Elliott Investment Management has occupied the American investor Eliott Forme coincidence As part of the global hedge program.

This step was first I mentioned By the British newspaper The Times on Thursday, it comes shortly after back The hedge fund in Paul Singer got a share of approximately 5 % in the struggling Shalas competition, BP.

Elliot is said to have raised a bet of 850 million pounds ($ 1.1 billion) against Shell, The Times I mentionedQuoting files with financial behavior authority.

The situation is said to be worth 0.5 % of Shell shares and is believed to be the largest short position that has been unveiled against energy specialization nearly a decade. A short position indicates a bet that the company’s shares will decrease.

Elliott and Shell refused to comment when CNBC called them on Friday.

Shell shares were traded by 1 % at about 1:50 pm London time (9:50 am Each time). The arrow listed in London increased about 13 % on an annual basis.

Earlier this month, it was I mentioned Elliot occupied a short position of about 670 million euros ($ 722 million) in the French oil giant Total energy. A spokesman for Totalergies did not immediately respond to the comment on Friday.

“When the hedge box creates a long location – it was used or not, because they use the leverage often with these situations – they need risk management purposes to create a opposite site, that is, short, in a similar company,” said Maurizio Caroli, energy analyst and material at Coierter Cheviot.

“The most likely reason for this is that it is a compensation site with regard to BP One, so Total and Shell were created as a risk management palace,” CNBC told CNBC.

“Otherwise, if the market is moving against them for any reason – for example, things like oil prices or anything else – you must get some protection.”

Elliot movements come as European energy enlargements Double fossil fuel In an attempt to strengthen the returns of shareholders in the short term.

Shell recently Declare Plan to increase shareholders ’returns and reduce spending because it enhances the push of natural gas texture (LNG). BP and Norway TimingAt the same time, it has also set plans to reduce renewable spending in favor of oil and gas.