Miami, FL, Oct. 07, 2026 (GLOBE NEWSWIRE) -- Badass Capital, an AI-first hedge fund that operates across sports betting, tradfi and crypto trading, and prediction markets, today reported a 39.92% net return on LP capital for Fund I in the third quarter of 2026. The net return figure is after management fees and fund expenses, but before carried interest.
The third quarter (July 1 through September 30, 2026) was Badass Capital’s first full quarter under its first fund — Fund I launched in May 2026, accepted its first outside Limited Partner capital in June 2026, and began deploying LP funds in early July 2026.
Returns for the quarter were generated across a mix of Badass Capital’s three domains of expertise. All results were produced within the fund’s systematic risk framework, with position sizing and exposure limits applied consistently across every market the fund operates in. During the quarter, an existing Limited Partner made an additional capital commitment to Badass Capital Fund I.
“I’m pleased with our first fund and first full quarter. Strong results delivered the way we said we’d operate: model the market, quantify the edge, execute with discipline,” said Mark Thomas, Founder and General Partner of Badass Capital. “And one great quarter is exactly that, one quarter. This is just the beginning.”
The quarter put the firm’s founding thesis to its first real test: that AI models and agents can research, price, and recommend across markets where beliefs are traded, faster and more consistently than human teams.
“We launched with the conviction that AI changes what a small, systematic firm can do in sports betting, trading, and prediction markets,” added Thomas. “Q3 was the first full quarter of proving that with outside capital in Fund I.”
Notably, none of Badass Capital Fund I’s third-quarter returns came from positions in actual AI companies, equities, or other assets. “A lot of portfolios right now are heavily concentrated in the AI trade itself,” said Thomas. “We’re built the opposite way — we believe in AI enough to have built the entire firm on it, but we use AI rather than invest in it. That makes the fund a genuine diversification from the heavy AI exposure sitting in most portfolios today. It doesn’t mean we’ll never trade AI companies or AI-driven opportunities when our models find an edge there, but the differentiation matters: our returns don’t depend on the AI trade.”
PERFORMANCE METHODOLOGY
The 39.92% figure represents the net return on Limited Partner capital for Fund I during the period of July 1, 2026 through September 30, 2026, after all management fees and fund expenses, but excluding carried interest, which is assessed at fund's end rather than quarterly. The return is calculated internally using the Modified Dietz method, a time-weighted methodology in which capital contributions made during the period are weighted for the number of days invested. Performance figures are unaudited.
ABOUT BADASS CAPITAL
Badass Capital is an AI-first hedge fund that models, prices, trades, and manages risk across three domains: sports betting, tradfi and crypto trading, and prediction markets. Badass Capital Fund I operates as BA Capital Fund I LP, a Florida limited partnership, with the majority of Fund I committed from the founder’s own capital. The firm was founded by serial entrepreneur Mark Thomas, whose background spans two successful technology exits, regulated gaming operations under Nevada and Tennessee licenses, and years of trading and sports betting analytics. The fund and Thomas are based in Miami, FL.
This press release is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities. Any such offer will be made only pursuant to definitive subscription documentation to verified accredited investors (Rule 506(c)) or qualified non-U.S. persons in offshore transactions (Regulation S). Interests in BA Capital Fund I LP have not been registered under the Securities Act of 1933 or any state securities laws. Investment involves significant risk, including possible loss of the entire amount invested. Past performance is not indicative of future results, and the performance of a single quarter should not be relied upon in evaluating any investment. There can be no assurance that the fund will achieve comparable results in any future period.
Press Inquiries
Mark Thomas
mark@badasscapital.ai
https://badasscapital.ai/
200 S BISCAYNE BLVD. FLOOR 20
SOUTHEAST FINANCIAL CENTER
MIAMI, FL 33131
