Anthony Scaramucci Told us His Contrarian Views on the Risks Investors Face After the Elections Regardless of Who Wins — and Shared How His $7.5 billion SkyBridge Capital is Navigating the Market’s Volatility (Business Insider)
Anthony Scaramucci, the founder of $7.5 billion hedge fund SkyBridge Capital, has a contrarian view when it comes to election-related market risks. He believes that they do not matter for stock market investors. However, the former White House communications director said the US has become a “weaker, poorer and sicker” country under the Trump administration, and such risks will remain after the elections. Scaramucci also shared his biggest concern about the stock market, and discussed how SkyBridge has been navigating bouts of market sell-offs.
Hedge Fund Manager Alexander Klabin to Invest in Auction House Sotheby’s (Reuters)
Reuters) – Hedge fund manager Alexander Klabin will invest in international art auction house Sotheby’s and become the executive chairman of its art financing business, the company said on Wednesday. The company did not disclose terms of the Klabin’s investment but said he will lead a management team to help Sotheby’s modernize its underwriting process and improve its access to capital markets.
This is Your Pay at Citadel vs. Citadel Securities (eFinancialCareers.com)
Citadel and Citadel Securities are not the same company. Although both are run by Ken Griffin, Citadel is a hedge fund and Citadel Securities is an electronic market maker. The two are entirely independent, as evinced by the decision of one to house some interns (and employees) at the Four Seasons in Palm Springs this summer and the other to opt for the American Club Resort in Kohler, Wisconsin. As independent entities, the two companies file entirely separate accounts in the U.K., where they’re compelled to make annual results public. However, given their shared parentage they file accounts simultaneously: Citadel Europe LLP and Citadel Management Europe Ltd. (both part of the hedge fund) and Citadel Securities Europe (the market maker) have just released their results for the year ending December 2019. They suggest that running a hedge fund was far more successful for Griffin in Europe last year.
Hedge Funds Head for Florida With Taxes on Rich Rising Elsewhere (Bloomberg)
Hedge funds are planning to expand their presence in Florida, adding to a migratory trend as wealthy residents of northern states face the threat of higher taxes. Chicago-based Balyasny Asset Management, with about $8 billion of assets, intends to open an outpost in Miami, according to people familiar with the matter, and Bluecrest Capital Management, which has offices in New York, recently opened a Miami office that now accommodates about 10 portfolio managers. Paul Singer’s Elliott Management Corp. is also contemplating opening an office in Florida, other people said.
Panxora Launches Hedge Fund to Provide Investors with Access to DeFi Market (Hedge Week)
Licensed fund manager, The Panxora Group, is now accepting subscriptions for the launch of a quantitative hedge fund designed to generate profits from the rapidly growing decentralised finance or (DeFi) token market. The fund will start trading on Monday, 2 November, 2020. Panxora has launched the Cayman Island based DeFi Fund to give investors access to the decentralised finance market opportunities, while managing the volatility that is a characteristic of any new, rapidly growing market. This is made possible by Panxora’s AI trading software, which is designed to give equal weight to profit generation and capital preservation. The models have been used to profitably trade cryptocurrency since 2017. They will now be used to identify and trade a variable basket of up to 20 of the most liquid DeFi tokens.
Dust Off Desks and Boot Up Terminals: Wall St. Returns, Fitfully (The New York Times)
Six months ago, New York’s financial industry abandoned its corner offices, conference rooms and trading floors almost overnight as the coronavirus raged across the city. The industry’s return to office life, by contrast, has been shambolic. The Midtown Manhattan offices of Mudrick Capital, a hedge fund, never closed, but workers were required to return only after Labor Day. Across town, the offices of a fellow hedge fund, Pershing Square, remain shut, its trading terminals idle and rooftop tennis court unused since spring.
Recruitment Tool Taking Off in WFH Era (GreenStreet.com)
Meritas Technology, the creator of a mobile app designed to help hedge fund operators and banks identify equity-trading talent among U.S. college students, is rapidly expanding in the work-from-home environment. The New York company’s product allows aspiring traders to run realistic long/short equity portfolios on their mobile devices free of charge. While the app doesn’t invest real money, users compete for cash prizes based on their virtual returns and create their own track records. In addition, job boards within the app connect fund managers and investment banks with users. Meritas’ algorithm sorts participants by alpha generation, allowing for recruitment of junior traders, analysts and other employees based on real performance.
Expanding Market-Neutral Palette (Hedge Nordic)
Stockholm (HedgeNordic) – DNB Asset Management’s multi-strategy, multi-asset absolute return fund has become more diversified with the addition of another market-neutral strategy that focuses on financial stocks. DNB Fund Multi Asset recently added another European quant-based market-neutral strategy to its set of sub-strategies. “We have launched the long/short strategy DNB Financials Absolute Return under the umbrella fund DNB Multi Asset,” Kjell Morten Hjørnevik and Knut Bakkemyr of DNB’s Global Financials investment team write in a post. DNB’s financials-focused absolute return strategy is yet another ingredient in DNB Fund Multi Asset, which allocates across a number of strategies managed by different teams at DNB Asset Management.