Is Automation Inevitable in the Hedge Fund Industry?

The long arc of automation stretches back to the inception of the industrial revolution. Room-sized computers once performed calculations that can now be accomplished by cell phones, which include a calculator as an afterthought. In fact, our cell phones have many...

Hedge Fund Assets Under Management Reach New High

Having suffered five straight months of net outflows, the hedge fund industry turned a corner in February and posted net inflows of $7.9 billion, a number sufficiently robust to overcome January’s net outflows of $5.2 billion and put the industry in black ink for...

Who Survives the Crash at the Crossroads?

Not since Alfred Winslow Jones conceived the hedge fund, have negative sentiments with regard to the industry run so high. There is blood in the water and hedge funds are the wellspring. It’s True Many of the industry’s woes are self-inflicted. One could argue that...

What Does Buffett’s Hedge Fund Wager Prove?

Warren Buffett, a.k.a. the Oracle of Omaha, has long been a critic of the hedge fund industry. In 2005, his Berkshire-Hathaway shareholder letter included a challenge to the hedge fund industry in the form of a $500,000 wager, payable to the charity of the winner’s...

Hedge Funds Face Multiple Uncertainties in 2017

As 2017 unfolds, hedge funds face not only the ever-present reality of uncertain markets, but also the tentative future of the regulations under which they operate. Donald J. Trump’s ascendancy to the Presidency will almost certainly differentiate itself from his...

Hedge Funds Should Recognize the Other Elephant in the Room

Much has been written on the topic of the Federal Open Market Committee (FOMC) and, under Janet Yellen’s guidance, the course it has pursued with regard to interest rates. Rates, as history shows, have been instrumental in shaping monetary policy for decades. However,...

Should Anyone Continue to Risk Hedge Fund Investment?

This is a question many investors are voicing, both institutional and retail. Understandably, this is a top of mind concern, given the returns averaged by the industry in the last three years. The S&P 500 experienced around 29 percent growth in those three years,...

The New Year May Breathe New Life into Hedge Funds

Hedge funds, taken together, suffered another bad year in 2016. How bad is still being sorted out and no firm details will be forthcoming here, at least for the time being. Anyone with a basic understanding of the industry knows that gains are difficult to attain in a...

Have Hedge Funds Baked-in a Potential Fed Rate Increase?

If the pundits are correct, the markets have baked in the potential impact of a Federal Funds rate increase. The Federal Open Market Committee (FOMC) will meet December 13 and 14, after which its decision with respect to a rate hike will be unveiled. In this...

Is R2-D2 Destined to Be the Next Hedge Fund Titan?

While Star Wars and hedge funds are rarely mentioned in the same sentence, artificial intelligence (AI), algorithms and robot investors have experienced no small amount of play in the financial media. In the broader media, headlines tout the proximity of automated...
Google Analytics Alternative