David Einhorn’s Greenlight Capital posted a 3.4% gain in April, capitalising on market volatility to extend its year-to-date performance to 11.9% and placing the fund among the top-performing long-short equity managers so far in 2025, according to a report by Institutional Investor.

The strong April showing came as broader equity markets struggled to find direction with the S&P 500 declining 0.8% and the Nasdaq eking out a 0.9% gain. Both indices remain underwater for the year, with the S&P 500 down 5.3% and the Nasdaq off 9.65%.

Greenlight’s April drivers weren’t explicitly disclosed, but performance attribution from the first quarter offers clues. In its recent investor letter, the firm revealed a decisive pivot in late February from a defensive posture to an explicitly bearish stance—cutting net long exposure to just 19% by quarter-end, with 86% gross long and 67% short.

This shift appears well-timed. In Q1, Greenlight generated 5.3% returns each from short positions and macro trades, more than offsetting a 1.3% drag from longs. A standout contributor was gold exposure—through physical holdings and call options—as the yellow metal surged 19% during the quarter. With gold up another 6.2% in April, it likely remained a key return driver.

The macro book also benefited from inflation swaps and SOFR futures—interest rate hedges aligned with Greenlight’s cautious macro outlook. These positions reflect a broader thematic conviction that the current market resembles the early stages of a bear cycle, punctuated by sharp countertrend rallies driven by sentiment and headline catalysts.

Among Greenlight’s top disclosed long equity holdings, April returns were mixed. Solvay, a Belgian chemical company, was the sole gainer at +1.8%, while German peer Lanxess fell over 3%. Core Natural Resources, a coal producer, was the biggest laggard, dropping 6% on the month. Positions in Green Brick Partners and Brighthouse Financial were roughly flat.