hedge fund industry

“I think the industry as a whole, and we, we've always felt the industry as a whole does not really add much value, if any value, net of fees. So the average manager isn't very interesting.”

“What you see is that fewer and fewer funds each year are able to get traction and grow. And the ones that do have everything right. So they have the right pedigree. They might have the right tracker. They might have the right initial investors. They might have…”

“One of the things that we see in the hedge fund industry is that most investors are kind of skeptical of hedge funds as a whole, but they're very positive on the hedge fund managers that they've picked for their portfolio.”

“There's a lot of rich, arrogant jerk-offs in the hedge fund industry. You personally don't need to be one. And I don't mean you, because you're actually not one, but I'm talking about your listeners. Don't be an arrogant, selfish hedge fund jerk-off.”

“The macro trade of just being long, everything is going away. The micro trade of security analytics, hedge fund investing, looking for strategies that reduce volatility, or have some level of non-correlation will come back into vogue. And so, for me, I think t…”

“If you work in finance in New York City, and you have zero equities, you're long equities, right? Right? If you're in the hedge fund industry, private equity industry, you have beta, DS&P.”

“I hate when I read articles and I see comments on the hedge fund industry not keeping pace with the S&P, and I know that the person behind the article probably doesn't know what a Sharpe ratio is. We're doing a different thing than the S&P is doing.”

“He was incredibly successful in the hedge fund industry, and at the same point, he was one of the nicest people I had ever met, and those two don't go hand in hand normally in the industry. Most people get into it because of the wealth opportunities”

“So I think over the course of the next few years, and you got to give it time because I think it was 2016 that the movement of one or 30 and kind of focusing on the fees and the alignment of what you're getting paid matched up. That was good for the industry. …”

“Dynamic managers, hedge fund managers are active managers. Static managers are passive managers. And I think there were a lot of people in the hedge fund industry that were running passive portfolios that had a very small active component.”

“A lot of people Feel they can be wrong, but they can't be alone, which is one reason that you see tremendous overlap in the hedge fund industry.”

“What's happened particularly in the last 10 years Is a significant concentration in the hedge fund industry. Means the large firms are getting bigger and bigger and are effectively hoovering up talent that wasn't able to sustain itself at a small firm.”

“You do see people, as they generate a lot of wealth, often get a little bit more conservative. So most people that have substantial amounts of wealth that wasn't inherited made it by taking significant risk. And once they make it, they don't necessarily contin…”

“For a long time, I would say that the industry fee looked like a one and a half percent management fee and a 20% incentive fee. And for most of the participants in the hedge fund industry, the fees are lower than that today and continue to come down.”

“I think it's still a worthy debate for the entire industry to have as to whether or not the drive into these extreme risk management parameters is a good thing. I believe it causes everyone's returns to go down, but I think that's a choice.”

“We talk about two and 20, but two and 20 is not the average fee in the industry by a long way, and it's certainly not the modal fee either. Two and 20 is now the unusual.”

“If you actually look at the data we get from our prime brokers, what at least we see is that the industry as a whole, the hedge fund industry as a whole, actually does not deploy more capital during periods of dislocation. The hedge fund industry retrenches an…”

“The fees are lower, they're going to be lower.”

“So much of what has become true over the last five years, all this is about is marketing and telling your story. It's gotten away from the purity of executing to what you say you're going to execute against, because most of it's just about collecting assets an…”

“It probably was more of a cash out trade vis-a-vis the hedge fund industry, 1520 years ago, because the motivation was really a tax arbitrage. And a hedge fund that is trading relatively actively is going to generate mostly short-term gains, and that will pay …”

“Volatile, taking big swings, conviction, and it felt to me, hedge fund industry truly was becoming too institutionalized. Which works. Obviously it's great for asset aggregation. So it's not to take anything away from the incredible businesses. I think that's …”

“If I was to talk generically about the hedge fund industry, I would say that probably on balance, At an aggregate level, that industry doesn't justify its fees or its role in the portfolio, because on a net of fee basis, it's really not going to give clients …”

“Now with these platforms that we're talking about, if you look over the last three, five, 10, or even 20 to 30 years in cases where they've been around for that long, and there are some that have, the platforms have actually outperformed equities on a total re…”

“Let's just assume two and a half times gross leverage for the industry in aggregate, which is, I think is probably conservative. That would get you to 10 trillion, which is what I would then call the footprint of the hedge fund industry. 10 trillion is a bigge…”

“It's a way to attract people who are very entrepreneurial and who are real business builders, whereas 20 years ago they probably would have just started their own fund, but now the industry has evolved to where there's so many impediments to doing that and so …”

“Assets allocated to the hedge fund industry has increased, but that's largely been driven by Performance of the funds themselves, not necessarily new money flowing into it.”

“A lot of the hedge fund industry tilts more towards what I would describe as a more mercenary model and ties to most of the compensation models are specifically a hundred percent formulaic based on your piano and not much else.”

“If you think of the investment universe as a giant, 150 trillion dollars, 35, 40% of that's 50, 60 trillion dollars you need of diversifying assets. The multi-strategy industry is one of those, there are other ones. You could do infrastructure, real estate, bu…”