Invest Like the Best with Patrick O'Shaughnessy Khe Hy – Quant Hedge Funds and the Fear of Death - [Invest Like the Best, EP.31]
4 snips
Apr 4, 2017 AI Snips
Chapters
Transcript
Episode notes
2008 Crisis Changed Hedge Funds
- The 2008 financial crisis was a pivotal point revealing leverage risks and lack of true diversification in hedge funds.
- Post-crisis, hedge funds became more competitive, with returns diminishing and fund-of-fund models evolving.
Early Access Requires Relationships
- To invest early in quantitative hedge funds, build strong, genuine long-term relationships with managers.
- Smaller, earlier stage funds often outperform larger, more established ones but require keen sourcing skills.
Know Quant Managers' Lineage
- Understanding the history and lineage of quantitative managers reveals stylistic and strategic differences.
- Deep technical knowledge and curiosity help identify credible hedge fund managers and spot red flags.