RK Capital Hedge Funds Lost Up to 30% in August as Metals Fell

RK Capital Management LLP, the metals hedge fund firm co-founded by Michael Farmer, lost as much as 30 percent last month amid falling copper and aluminum prices, according to an investor with the firm.

The declines cut the combined returns of the firm's five funds to about 2 percent this year, said the investor, who asked not to be identified because the information is private. Red Kite Metals, the company's biggest fund, dropped about 40 percent, bringing this year's loss to as much as 7 percent.