With Intelligence’s Post

Chris LaSusa and Kevin Cottrell recently closed their stock-focused hedge fund, KCL Capital, L.P. after nearly six years, as Cottrell moves to Balyasny Asset Management L.P. Kevin Cottrell, who previously worked with LaSusa at Point72 for over a decade, is tipped to become a portfolio manager for TMT at Balyasny. The closure of KCL could be a symptom of the broader trend in the hedge fund space, with investors favouring larger multi-manager funds for more stable returns and diversification. A shift that has led many managers to wind down their own hedge funds and join these platforms. These platforms are also paying rather competitive compensation packages, sign-on bonuses and guarantees for top PMs. The migration of talent to pod shops has contributed to 2,500 hedge fund closures in the last five years, surpassing the number of new launches during the same period. #investmentmanagement #assetmanagement #alternativeinvestments #hedgefunds

🚀 Multi-strategy hedge funds are capturing the lion's share of industry inflows. 📊 Nick Bird, a hedge fund veteran redefines strategy with OQ Funds Management, focusing on lean, secured $500M assets. This pivot comes as multi-strategy hedge funds like those led by Ari Glass at Boothbay Fund Management LLC dominate, capturing the lion's share of industry inflows. Bird's rebound, emphasizing quality and discretion in a sea of quant, marks a notable shift amidst a landscape where broad-spectrum funds thrive. 🌐 #HedgeFunds #MarketShifts #NickBird

In the first half of 2024, several prominent hedge funds have posted positive returns but generally lagged behind the broader market, as the S&P 500 surged roughly 15% reports Business Insider. Schonfeld's flagship funds led the pack, with the Fundamental Equity fund gaining 11% and the Strategic Partners fund up 10.3%, including a 2.6% and 1.9% increase in June, respectively. Point72, managed by Steve Cohen, and Citadel Wellington, led by Ken Griffin, reported gains of 8.7% and 8.1%, with June returns of 1.5% and 1%, respectively. 

Scoop: Starved of capital, a wave of money managers are giving up on their own hedge funds or abandoning plans to start new ones and instead joining platforms that pay top dollar to hire and retain them. Ex-Point72 Chris LaSusa and Kevin Cottrell have shut their hedge fund, with the latter moving to Balyasny next month *Please follow on Xwitter https://lnkd.in/dKsFZUR5 to get hedge fund updates

HEDGE FUND NEWS | Reuters deliver the results of what was an up and down year for many recognised Hedge Funds. Many hedge funds were caught off guard by last year's surge in bond yields and the performance of most of them lagged stock market indexes, but a handful achieved double-digit gains, some helped by strong technology shares. #hedgefunds #investmentmanagement #2023review #financialservices #fincosearch

🔍 Exploring the Shift: Moving Beyond the Pod Structure in Hedge Funds 🔍 In recent times, we've observed an intriguing shift within the hedge fund industry: a growing resistance to the traditional pod structure. This model, once hailed for its flexibility and potential for specialization, is facing scrutiny from both investors and portfolio managers alike. Investors are increasingly vocal about their concerns with the 'pass through fee' model, questioning the efficiency and transparency of costs associated with pod-structured funds. Additionally, portfolio managers express reservations for various reasons, including central risk/copy trading and prohibitive drawdown limits. Examples of firms exploring alternatives to the pod structure include Freestone and AB Asset Management. This trend raises a crucial question for the industry: What alternatives are being explored, and how are they shaping the future of hedge fund management? Are other firms making similar moves away from the pod model? #hedgefunds #financialmarkets #portfoliomanagement #investmentstrategy #financeinnovation https://lnkd.in/d5Y927de

Hedge funds reached a second-consecutive quarter of net inflows in Q2, totaling to $11.3bn allocated to the asset class, closing out H1 2023. Staying on theme with positive momentum, hedge funds assets under management now stands at $4,364.6bn, marking the highest ever tracked by Preqin, breaching its previous peak at the end of Q4 2021." The Q2 2023 Hedge Fund Asset Flows factsheet explores which core strategies saw the most success and takes a look into where hedge funds are likely heading: https://lnkd.in/evQaimjG #hedgefund #hedgefunds #preqin #homeofalternatives #assetflows #hedgefundassetflows

Great to have some of our research featured in the The Wall Street Journal! While large (>$1bn AUM) #hedgefund launches since January of 2022 represent only 5% of the total number of launches, additional context is helpful.   As Jon Caplis shared with Peter Rudegeair, those 'large' hedge fund launches accounted for 35% of total launch assets during the period.   Check out more details in the link below!   #hedgefunds   https://lnkd.in/e7abr6p2

Why do hedge funds fail? Key reasons behind hedge fund closures Hedge funds fail all the time, yet they often slip beneath the radar of public awareness. It's only the colossal failures that grab the headlines. This is precisely the reason why deeply understanding what you are signing up for is paramount in building a long-term career in public equity investing. With the recent demise of Weiss Multi-Strategy Advisors, a 46-year-old hedge fund, let's delve into the myriad of reasons why hedge funds fail. https://lnkd.in/gp-YtxjQ

We offer cost-effective access to fully diversified hedge fund portfolios.  By pooling client capital, we give clients access to a broad range of hedge fund managers for a minimum commitment similar to that of a single manager. Clients benefit from the additional diversification by reducing risk in their portfolios. We leverage our reputation and long history in the hedge fund industry to the benefit of our clients.  Our network is broad and deep. We are often the first to know when new opportunities enter the marketplace and knowledgeable about the key players, their resources, and their reputations in the industry. This enables us to be highly efficient in making decisions and committing capital for our investors. We use our size to negotiate better terms for our clients. By combining client capital, we go to market with greater power and influence than that of a single investor. This provides us with leverage to negotiate more favorable terms with managers on behalf of our clients. https://lnkd.in/em23-Rzu #sentineltrust #togetherfamiliesprosper #boutiquetrustcompanies #wealthmanagment #investmentmanagement #wealthplanning #hedgefunds #diversifiedhedgefundportfolios