Marchese: Shorting market volatility captures premium that beats market
Julian Marchese · 756: Meet The 21 Year Old Who Runs His Own $5m Hedge Fund · Aug 19, 2017 · at 11:41
Julian Marchese explains his fund's strategy of systematically selling volatility insurance to market participants seeking downside protection.
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“There's a really big premium over time of shorting that volatility, and you're basically, you're, you can beat the market just because of that, that insurance premium.”
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“Cause you can only, a human can only run two or three strategies being focused in on it. But to run 20 or 30, that, that takes automation.”
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“She invested 75,000 dollars for one percent of my management company.”
Marchese has raised $675K for management company and $5M in SMAs
“So the management company, I've raised 675,000 dollars at about an average valuation of like four million bucks. And so I've raised about five million into a separately managed account program at this point, but we're looking to launch a fund later this year.”
Marchese: First fund investors came directly from Business Insider and media coverage
“My first few investors were just people that, you know, saw an article on Business Insider or saw one of my interviews and said, hey, that's a really great story. I'd love to learn more about what you do, and then, you know, one thing leads to a meeting, and t…”