Hedge funds

Despite a rising chorus of criticism about mediocre performance and high fees, the alternative investment industry in general, and hedge funds in particular, remain where Wall Street’s best and brightest money managers congregate.
Citadel founder Ken Griffin reflected on his career in the markets starting during his pre-internet years at Harvard University at the 2016 Salt Conference. During an interview with SALT Founder and SkyBridge CEO Anthony Scarramuchi, Griffin discussed how he and his team built Citadel, the importance of a strong corporate culture, and his positive views on entrepreneurialism in the United States.
“I think hedge funds are coming off what’s clearly been a difficult 6-9 months. But if you look back, they tend to go through these cycles every 4 to 5 years.”
“I think you need to prepare for a Trump presidency.” That’s Jeffrey Gundlach, CEO of DoubleLine Capital. During a presentation at the Sohn Conference, Gundlach recommended that investors sell the utilities index and shot toward mortgage REITS. But the key quote from Gundlach’s talk was his expectation that Trump can win and offered a key tagline that made him bullish on Trump.

"One of the big causes for the stagnation of middle class wages is essentially because of clever computer programs."

Many fear hedge funds are pushing up crude oil prices prematurely, which will lead to a renewed crash when the bubble bursts, as it did after the last big run-up in prices between January and May 2015. John Kemp argues that hedge funds and speculators are not driving the recent rally in oil prices. That’s a pretty stark argument from a very good piece in January by F. William Engdahl, who argued in January that 60% of today’s oil price is driven by speculation.

“The decision to put Harriet Tubman [and replace Andrew Jackson] on the new $20 was driven by thousands of responses we received from Americans young and old.”

“We’ve been criticized for allowing the holding to grow so large, but our feeling before the crisis erupted was that Valeant was executing well on its business model.”

After deserting commodities markets during last year's slide, some hedge funds are starting to move back in, betting a recent pick-up in energy prices could signal a turning point.

Investors will get their first peek of the year into hedge-fund managers’ holdings in mid-February as they file updated 13F disclosures.