Updated from 8:27 a.m. EDT

Most hedge funds are drastically underperforming the markets this year. In fact, since 2004, most hedge funds have actually underperformed the boarder markets, despite the huge bull market in stocks.

Since most hedge funds get paid based on their returns for the year, managers who do not want to underperform are turning to shareholder activism as a way to increase shareholder value and ultimately boost their returns.

Here at

Stockpickr.com

, we track many of the

Latest Activist Situations

for those interested in piggybacking these funds. We highlight a few of those situations here.

Recently,

Barington Capital

increased its pressure on

Lancaster Colony

(LANC) - Get Lancaster Colony Corporation Report

, saying that "the company should live up to its agreement with the hedge fund to publicly disclose its plan to improve its operations and profitability." Lancaster Colony, which sells various food ideas, has an enterprise value-to-EBITDA ratio of 8.3 and a forward P/E of 13.5.

Barington Capital said that the firm intends to closely monitor the company's compliance with the terms of the agreement.

Barington Capital also has sizeable positions in

Pep Boys

(PBY) - Get Prospect Capital Corporation 6.25 % Notes 2018-15.06.28 Report

, which has a forward P/E of 24 and a 17% short interest. It also own plastics makers

A. Schulman

(SHLM) - Get A. Schulman, Inc. Report

, which has a forward P/E of 14 and an 8% short position.

Billionaire activist investor

Carl Icahn

entered into an agreement with

Guaranty Financial

( GFG) under which the company will sell him about 1.06 million shares of its Series B convertible preferred stock for $55 million.

Icahn is also still waging war against

Yahoo!'s

(YHOO)

TheStreet Recommends

board to sell the company to

Microsoft

( MOT), and challenging

Motorola

( MOT) to spin off the hands-free unit of the company. He also has positions in

Biogen Idec

(BIIB) - Get Biogen Inc. Report

and

Anadarko Petroleum

(APC) - Get Anadarko Petroleum Corporation Report

.

Next on the list is

Applied Biosystems

(ABI)

.

SAC Capital

cut its stake in Applied Biosystems, from 5.1% to 3.5%, and has suggested a sale of the life-science company.

For more activist ideas, including

Motorola

( MOT) and

Amylin Pharmaceuticals

( AMLN), please check out the

Latest Activist Situations

portfolio at Stockpickr.com, which we update daily with the latest situations recorded by the

StreetInsider.com

13D Tracker.

Also, here are the latest activist filings from

Barron's

.

Stockpickr is a wholly owned subsidiary of TheStreet.com.