Falcone's Harbinger Is Said to Have Lost 10% Last Month in Illiquid Fund

``The so-called side pocket, with about $2 billion in assets, has slumped 14 percent this year, said the people, who asked not to be named because the information is private. Hedge funds fell an average of 0.86 percent in June and 0.21 percent this year, according to Chicago-based Hedge Fund Research Inc. ''