How Robert Mercer's hedge fund profits from Trump's hard-line immigration stance

Donald Trump and Robert Mercer (Photos: Mark Kauzlarich/Reuters, Oliver Contreras/for the Washington Post via Getty Images)

On Aug. 18, 2016, the share price of Corrections Corporation of America, one of the main operators of private prisons and immigrant detention centers, fell by 50 percent to $13.04 after the Obama-era Justice Department directed the phaseout of federal private prisons. The company’s stock floundered for the next few months. On Nov. 7, the day before Donald Trump’s historic election — and by which point the company had rebranded as CoreCivic — it closed at $14.36.

But with Trump’s unexpected victory, CoreCivic stock rose meteorically. By Inauguration Day on Jan. 20, 2017, it had doubled, and it climbed higher when the new administration began implementing its hard-line immigration and law and order policies. On Feb. 24 — a day after Attorney General Jeff Sessions reversed the Obama ban on private prisons — CoreCivic’s share price hit $35.03. That was a potential windfall for investors, including Renaissance Technologies, a hedge fund then headed by billionaire Robert Mercer. According to filings with the Securities and Exchange Commission, between Trump’s election and inauguration, Renaissance unloaded 645,586 CoreCivic shares for a big profit.

Something sure smells fishy, doesn’t it?

Read more starting at ‘Few people backed Donald Trump’s 2016 presidential campaign’ at…

How Robert Mercer’s hedge fund profits from Trump’s hard-line immigration stance

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