NY hedge fund steps big into Brookdale

The managers of a New York hedge fund appear to really like Brookdale Senior Living's planned acquisition of rival Emeritus. Senator Investment Group this week said it owned more than 6.2 million shares of Brentwood-based Brookdale as of Monday. That's up from exactly zero on Dec. 31. With event-driven theses a part of Senator's strategy, it's more than likely all those shares were acquired on the heels of the Emeritus news. Even better: Senator already is sitting on a paper profit of more than $8.5 million since Brookdale shares (Ticker: BKD) are up more than 4 percent since the close of Monday's trading.

Senator, which was founded in 2008 with backing from Blackstone, two and half years ago declared a 5 percent stake in Vanguard Health Systems. Since then, its assets under management have grown nicely from $2.3 billion to more than $8.7 billion.