Paulson Adds JPMorgan Chase, Wells Fargo, Others to Portfolio

Coming off savage losses in 2011, John Paulson's eponymous Paulson & Co. hedge fund initiated new positions in several stocks during the second quarter, including JPMorgan Chase JPM and Wells Fargo WFC. The two Dow components are the two largest U.S. banks by market cap. Paulson previously rose to acclaim for betting against sub-prime mortgages before the onset of the financial crisis. However, his company would later endure rocky returns in 2011 for heavy long side bets on bank stocks that were ill-timed. The 13F filing with the Securities and Exchange Commission also indicated that the hedge fund added to its stake in custodial bank State Street STT. During the second quarter, Paulson & Co. eliminated stakes in Anadarko Petroleum APC, SunTrust STI, Family Dollar FDO and United Rentals URI. Positions that Paulson added to during the quarter included the SPDR Gold Shares GLD, the largest ETF backed by physical gold. Paulson's gold funds have been among the lone bright spots for the firm over the past year. Other positions that were added to included HCA HCA, Gaylord Entertainment GET, Quest Software QSFT and Hillshire Brands HSH. The hedge fund also initiated new positions in Cablevision CVC, Cooper Industries CBE, Equinix EQIX.