Inside the sprawling network of hedge fund spin-offs from Israel Englander’s Millennium Management (Business Insider)
One could argue that Millennium Management‘s greatest advantage over other hedge funds is its ability to keep talented people in-house. The massive hedge fund — which manages some $46 billion in assets across hundreds of teams — has a unique structure that lets portfolio managers operate in independent silos. The setup, which is grants PMs even more autonomy than fellow multi-strategy funds though with tight risk and loss parameters, helps billionaire founder Israel Englander convince staffers who might leave a more traditional fund to stay in-house — and recruit top talent into his firm.
Hedge Fund Billionaire Chris Hohn: ‘Asset Management Industry is a Joke’ on Climate Change (Financial News)
Billionaire activist investor Sir Chris Hohn has slammed asset managers for failing to be more active on the climate emergency — particularly within funds that claim to prioritise environmental, social and governance (ESG) concerns. “ESG for most asset managers is a total greenwash and investors need to wake up and realise that their asset managers talk but don’t actually do,” said Hohn. The billionaire founder of TCI Fund Management, a $30bn hedge fund, made the comments on a Global Summit webinar addressing shareholder activism and ESG investing on 22 October.
Chris Hohn
Mike Novogratz Likes Stocks, Bitcoin Ahead of the Election: ‘The Liquidity Tsunami is Just Too Big’ (CNBC)
Billionaire investor Michael Novogratz said Friday he’s bullish on both stocks and cryptocurrencies despite the uncertainty around the upcoming election and the shape of the economic recovery. The Galaxy Digital CEO said on CNBC’s “Squawk Box” that he expects a Democratic sweep in next month’s election, with Joe Biden defeating President Donald Trump and Democrats taking the Senate.
Major Hedge Fund Moving to West Palm Beach from New York (MSN Money)
A $41 billion hedge fund based in New York plans to temporarily lease space in the Phillips Point office complex as part of a larger move to bring its headquarters to West Palm Beach, three real estate sources said on Thursday. Paul Singer‘s Elliott Management Corp. also will open an office in Greenwich, Ct., as well as keep a presence in Manhattan, according to Bloomberg News, which first reported Elliott’s move to West Palm Beach but did not identify a location.
Hugh Hendry Sees ‘Beige’ Market, Says Fed Policy Too Tight (Bloomberg)
Hugh Hendry, former hedge fund manager, says a lot of “zealotry” has been taken out of central banking and explains why he thinks monetary policy is too tight. He speaks with Bloomberg’s Jonathan Ferro on “Bloomberg The Open.” (Source: Bloomberg)
US Election: Biden Win May “Counter-Intuitively” Boost Oil Markets, Says Energy Hedge Fund Westbeck (Hedge Week)
A victory for Joe Biden in next month’s US presidential election may “counter-intuitively” help boost global oil markets, according to London-based energy-focused hedge fund Westbeck Capital. The firm – whose flagship Westbeck Energy Opportunity Fund takes a long/short directional approach to international oil markets, trading equities, futures and options – outlined its bullish stance on the Democrat candidate in a market update this week. The challenger’s proposals for a USD2.5-3 trillion fiscal stimulus would herald a short-term bump in oil demand, boosting both the US economy and also emerging market growth, since US dollar debasement would likely accelerate, the firm observed.
The Hedge Fund For Millennials By Millennials (RitzHerald.com)
Fate Capital is targeting the younger generation of investors, allowing them the opportunity to increase their investment income via premium collection. This is made possible by writing options contracts on their long-term portfolio, which by design also reduces overall portfolio risk and volatility. The strategy is not new and has been used to profitably trade in bullish, bearish and neutral markets, but most funds simply overlook this strategy. Since the aim of most funds is to increase their AUM (the higher the AUM, the higher the management fees), and in turn the bigger the fund the more difficult it becomes to find liquidity in the options market.
