The most prestigious law school admissions discussion board in the world.
|
 |
 
|
Hedge fund returns
Poast new message in this thread
Date: September 12th, 2017 5:56 PM Author: sadistic ivory cuckold http://www.barrons.com/articles/penta-top-100-hedge-funds-1497665963?tesla=y
You just have to average 8% over the last 3 years to maek it into the top 100 best performing funds? That doesn't seem hard. |
 |
Date: September 12th, 2017 5:57 PM Author: exhilarant purple resort Yeah, just buy ETH. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#34195267) |
|
Date: September 12th, 2017 5:58 PM Author: Copper gas station hedge fund$ are a boomer $cam (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#34195271) |
|
Date: September 12th, 2017 6:18 PM Author: sadistic ivory cuckold bump exeunt (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#34195477) |
Date: September 12th, 2017 6:03 PM Author: sadistic ivory cuckold bump for drake (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#34195329) |
|
Date: September 12th, 2017 6:13 PM Author: sadistic ivory cuckold Is it true that for smaller hedge funds (100-200 mil), their portfolio is often just 3-4 stocks? (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#34195425) |
|
Date: October 27th, 2018 5:51 AM Author: Amber glittery french chef locale no. normally 8-15 (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37105279) |
|
Date: October 27th, 2018 5:54 AM Author: sadistic ivory cuckold Are you sure? (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37105283) |
|
Date: October 27th, 2018 5:56 AM Author: Amber glittery french chef locale thats what i've seen (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37105285) |
|
Date: October 27th, 2018 5:56 AM Author: Amber glittery french chef locale PE funds that size often have 3-5 investments though. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37105286) |
|
Date: February 3rd, 2019 3:55 PM Author: awkward faggot firefighter base Look at some of the big funds that were 30-40% VRX in 2015/2016. Valeant beta destroyed some good funds
EDIT: Type bets, but auto corrected to beta. Lol accurate too |
|
Date: February 3rd, 2019 3:57 PM Author: sadistic ivory cuckold Seems odd to me that a fund could earn so much in management fees for picking a few stocks. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716768) |
|
Date: February 3rd, 2019 4:03 PM Author: awkward faggot firefighter base Look at:
www.forbes.com/sites/gurufocus/2017/07/25/sequoia-fund-climbing-back-after-valeant-saga/amp/
Tons of funds were way to over exposed to that sham stock, but Sequoia saga was public.
Left was on other side of the trade. |
|
Date: June 25th, 2018 3:17 PM Author: sadistic ivory cuckold (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#36307071) |
|
Date: June 26th, 2018 9:07 AM Author: sadistic ivory cuckold (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#36310937) |
|
Date: June 26th, 2018 9:13 AM Author: Spectacular hospital lmfao @ tiny pink 26% 3 year returns just lmfao (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#36310962) |
|
Date: October 26th, 2018 2:36 PM Author: sadistic ivory cuckold (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37100976) |
|
Date: October 27th, 2018 5:47 AM Author: sadistic ivory cuckold (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37105274) |
|
Date: February 3rd, 2019 2:34 PM Author: sadistic ivory cuckold (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716048) |
|
Date: February 3rd, 2019 2:35 PM Author: Razzmatazz bistre indian lodge why do people put money in hedge funds (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716057) |
|
Date: February 3rd, 2019 2:47 PM Author: Wonderful range Been wondering myself
The whole industry seems like fraudlies |
|
Date: February 3rd, 2019 2:50 PM Author: Razzmatazz bistre indian lodge (PE shill) (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716191) |
|
Date: February 3rd, 2019 3:21 PM Author: Harsh nursing home bbw Same reason they play slot machines. Seriously. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716469) |
|
Date: February 3rd, 2019 3:36 PM Author: Razzmatazz bistre indian lodge they should trade/invest on their own then why make some ackman einhorn fuck rich from fees so he can long/short like 10 stocks max |
|
Date: February 3rd, 2019 2:35 PM Author: talented locus *(((they))) rubbing hands together* (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716060) |
|
Date: February 3rd, 2019 2:53 PM Author: marvelous bipolar pozpig box office ITT: risk-adverse wagecucks (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716227) |
|
Date: February 3rd, 2019 2:56 PM Author: Twinkling Vibrant Deer Antler Codepig Warren Buffett says wealthy people and institutional investors can't bring themselves to invest in an index fund, it's too prole. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716259) |
|
Date: February 3rd, 2019 2:57 PM Author: marvelous bipolar pozpig box office Yes, I believe Warren Buffett says wealthy people and institutional investors can't bring themselves to invest in an index fund, it's too prole, too.
|
|
Date: February 3rd, 2019 2:58 PM Author: Razzmatazz bistre indian lodge link (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716279) |
|
Date: February 3rd, 2019 2:56 PM Author: marvelous bipolar pozpig box office Are you ppl really confused why someone worth $120m would invest in a hedge fund instead of $SPY or $VTI or whatever (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716264) |
|
Date: February 3rd, 2019 2:57 PM Author: sadistic ivory cuckold too much lingo, wtf? (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716274) |
|
Date: February 3rd, 2019 3:03 PM Author: marvelous bipolar pozpig box office - Someone with that kind of money has enough market risk as it is. Why increase it? - These are people who became rich for building and investing in great companies. Lol at telling them to TWAP into an index fund.
I hate when polisci boys talk about hedge fund performance with some stale reddit-level points. |
|
Date: February 3rd, 2019 3:06 PM Author: sadistic ivory cuckold 1. Do hedge funds diminish market risk?
2. Isn't that just another way of saying vanity gets in the way of rationality? |
|
Date: February 3rd, 2019 3:14 PM Author: marvelous bipolar pozpig box office 1. No, they likely increase it. But that's just my opinion and there's an argument against it. Regardless, that's not the point of this thread.
2. Yeah, sure. But for every blowhard like Andrew Left, there are a dozen hedge funds with an army of PhDs who have a demonstrable edge.
I just hate defending HFs because although I respect them, I don't like the guys or industry. And then I have to talk to people like you who don't know what $VTI is or why comparing % averages is retarded or what the whole fucking purpose of a hedge fund is
|
|
Date: February 3rd, 2019 3:17 PM Author: sadistic ivory cuckold 1. OK whatever then, but you did raise this point, so I'm trying to figure out what you mean.
2. How does one pick the right handful of hedge funds that have the demonstrable edge? Are there a vast number that are junk then? |
|
Date: February 3rd, 2019 3:23 PM Author: Harsh nursing home bbw Even this “demonstrable edge” stuff is bullshit in 95% of cases. Long term capital management had a demonstrable edge (including literal nobel prize winners) until they lost everything and almost took the financial system with them.
And if there is a hedge fund with an edge, you probably can’t even get into it (eg Renaissance). |
|
Date: February 3rd, 2019 3:38 PM Author: marvelous bipolar pozpig box office As a trader, edge is one of my favorite things to discuss
Let's just agree that hedge funds, institutional investors, index funds, and mutual funds all suck, but they serve different purposes and we should stop comparing which is "better" |
|
Date: February 3rd, 2019 3:46 PM Author: Razzmatazz bistre indian lodge what do you know about the data inputs that algorithmic funds use? is it just exchange data like price/volume (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716677) |
|
Date: February 3rd, 2019 4:04 PM Author: marvelous bipolar pozpig box office Yes, for the most part. Of course they have insane amounts of proprietary research of companies and industries, but the exchange info is the only data that changes millisecond to millisecond.
Beyond HFT strategies, execution models are extremely important too. Say Warren Buffets wants to invest $200m in $AAPL? Do you think he just wakes up and says I like this price let me get $200m worth? No he has a model and traders that do that for him over two weeks. Those models and traders get bonuses based on how well they can get $AAPL under VWAP, which is a very real and very demonstratable edge. |
|
Date: February 3rd, 2019 4:16 PM Author: Razzmatazz bistre indian lodge it's interesting that many of the tools are available to everyone but smart people create profitable computerized models while neckbeards jerk off and draw trendlines (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716902) |
|
Date: February 3rd, 2019 4:22 PM Author: marvelous bipolar pozpig box office It's humbling but let's not underestimate how cunning they are when it comes to proprietary research and outright espionage. They also have tremendous hardware capabilities (ie speed, speed, speed).
The usefulness of these three things really just depend on the strategy. |
|
Date: February 3rd, 2019 4:08 PM Author: marvelous bipolar pozpig box office And for first point, a decent ammount: have two of my own (non HFT, not very sophisticated) models running and work full time as a trader at a small firm. I would love to break into BIGQUANT but dunno if I want to take more 400-level math classes or if I would even have a realistic shot with my age and subpar employment and academic history (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716847) |
|
Date: February 3rd, 2019 3:31 PM Author: marvelous bipolar pozpig box office 1. There's tons of online articles about Hedge Funds and 2008 crisis, but that discussion is pretty dry. The initial point I was trying to make is that many hedge funds (at least originally) where vehicles for rich people to avoid market risk.
12 You can't get into the best funds, and we probably don't know about many of them. Not because you don't have the $250 minimum deposit, but because the best funds will lose their edge if they get too big. The Renaissance Medallion Fund has an army of 40-PhDs behind it and has averaged over 10% with a 4+ sharp for over a decade, but they can't take anymore money. That's insane.
It comes down to more your style. I actually like the guys like Left and Ackman who make big, contrarian bets against companies and launch public takedowns of them. Maybe you like guys who run a Macro Events Drive HF, who make big bets on major current events like Brexit or the Chinese economy. I suspect you'll probably like the Quant driven funds the most, as they can the numbers to back up their decisions. Or maybe you might like a more traditional HF that will make you money when the market hits the fan.
|
|
Date: February 3rd, 2019 3:35 PM Author: frum karate To debate point #1, hedge funds were just as often a vehicle for the very wealthy to take on additional risk, risk that they could understand and afford, in pursuit of a high return. This is why hedge funds have been off-limits to non-accredited investors. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716568) |
|
Date: February 3rd, 2019 3:42 PM Author: marvelous bipolar pozpig box office I would agree. I suspect that while the demand for hedging was the genesis of the industry, the investors quickly realized they liked the freedom and leverage more. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716634) |
|
Date: February 3rd, 2019 3:33 PM Author: frum karate Funds that have a substantial edge are generally small, young, with a manager/managers exploiting a specific opportunity. However there's also a lot of bad hedge funds with the same specs.
Large hedge funds don't outperform and it's because they are large. They still get invested in because large pension funds and institutions are risk-averse herd-thinkers. They would rather have guaranteed mediocrity disguised as diversification rather than dig in the weeds and find truly great opportunities. |
|
Date: February 3rd, 2019 3:37 PM Author: Violent Public Bath Flame, no one who “built a great company” would be so risk averse as to avoid SPY. T bills get you 2.5% which beats the pants off 95% of funds (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716587) |
|
Date: February 3rd, 2019 3:42 PM Author: citrine international law enforcement agency dilemma How does one invest directly in T bills? (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716639) |
|
Date: February 3rd, 2019 3:49 PM Author: Violent Public Bath https://www.treasurydirect.gov
Or SHV / VGSH |
|
Date: February 3rd, 2019 3:53 PM Author: marvelous bipolar pozpig box office Bro literally ever rich person on CNBC and Bloomberg has been calling the market top for the last five years.
But the point is 2.5% or 6% ain't getting their dick hards anyways and they don't want the SYSTEMIC risk of a broad US equities investment. They'd rather bet $20 million on their own idea (whether its: this company sucks, Brazil will boom, or it's time to run this model) and let it play out over the next 18 months than trust trump not to launch another trade war. Also, a good chunk of their portfolio is also already exposed to that risk. |
|
Date: February 3rd, 2019 3:37 PM Author: Twinkling Vibrant Deer Antler Codepig There've been a few mutual funds and hedge funds that beat the average over the long term, but they're closed to new investors. Not everyone can be above average. This isn't Lake Wobegone. (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#37716590) |
|
Date: May 20th, 2019 2:34 PM Author: sadistic ivory cuckold (http://www.autoadmit.com/thread.php?thread_id=3729605&forum_id=2#38261728) |