3 ms·
This assertion is about funds that are open to the general public. No one doubts e.g. Renaissance’s Medallion fund.
by closeparen 6y ago
This assertion is about funds that are open to the general public. No one doubts e.g. Renaissance’s Medallion fund.
- jeffbee 6y agoOK but it's still just false. Go read this obituary of Richard Gilder who recently passed away. He founded a firm that gave ordinary retail investors consistently high returns for decades. https://www.gilderlehrman.org/about/richard-gilder https://www.gilderlehrman.org/about/richard-gilder
- graeme 6y agoThe super investors of graham doddsville is also instructive reading on this point.
- Aunche 6y agoI'm sure that some hedge funds know what they're doing, but it's impossible to tell which are the good ones. Investing in a hedge fund still is functionally equivalent to asking a monkey to throw darts at stocks.
- DuskStar 6y agoAlso, in general if there's a consistent and significantly market-beating (after fees) hedge fund that's available to the public, it's a scam. Most real strategies can't scale infinitely (see Medallion), and so have a maximum amount of useful capital. If the owners can't fill this amount of capital on private markets after a few years, then it probably failed a few sniff tests.