Paulson Funds Said to Fall Last Month as Advantage Drops

Billionaire hedge-fund manager John Paulson posted losses in his main strategies in September as stock and corporate bond markets fell.

The $22 billion New York-based firm’s Advantage fund, which makes bets on companies undergoing corporate change, such as spinoffs and bankruptcies, slumped 8 percent last month, bringing yearly losses to 13 percent, according to two people familiar with the matter, who asked not to be identified because the information is private. The Advantage Plus fund, a leveraged version of the strategy, tumbled 11 percent in September and 14 percent for 2014, the people said.