Currently my portfolio is roughly 60% long equities and 40% cash and I'm very skeptical about the short-medium term prices of equities given how highly the S&P and FTSE are trading relative to the underlying economic conditions for governments, economies and corporates.

I'm in the UK and my broker doesn't offer options on indices as that would be my instant go-to-hedge. I've done some back-of-the-envelope modelling and I'd need to invest something like 16% of my portfolio into 3x levered short ETFs to hedge out my risk entirely given various weighted betas, and that is too much capital to commit.

Is there any other way to hedge out down-side equity risk without options or levered ETFs?

Thanks!

I have a hedge fund interview coming up. I worked as an investment analyst and i can hold my own when asked any questions related to equities/investment style etc.

However, my credit knowledge is average at best. When asked more technical questions on things like debt tranches(sec./sr sec./sr unsec./ leverage multiples for each tranche etc.) or CDS questions, I can get a bit flustered.

Are there any guides or other reading materials that may outline all of this information so I dont come off as completely inept when these questions arise?

Thanks guys.

hey monkeys;

im currently a summer student at a small shop, and im being asked to "re-vamp" their current fact sheet; i was wondering what would be the best program to approach this with?

thanks :D

Hey all,

I am going to be entering my Senior year at a non-target with a 3.9 GPA and have been offered a job at a HF as a Fall "Investor Relations" Assistant. As stated in the title I'm pretty sure its an admin job. By the way, the hedge fund is Tudor Investment.

The people I've talked to there know I am also interested in an analyst position. Is there any chance of this turning into one when I graduate?

What kind of company should one write an equity research report on?

Like what reasons should someone have for writing a report on Company XYZ?

I'm trying to decide what to write an initiation report on. Could someone help? I was thinking Caribou, but everyone covers that, and it's not like there's something that most analysts are missing that I could pick up on...

Thanks! Any help is greatly, greatly appreciated!

Guys, I added small positions in DOG (inverse etf for the Dow30) EPV (ProShares UltraShort Europe) and I am also considering adding a little UVXY (ProShares Ultra VIX Short-Term Futures ETF).

My question: I have read that these inverse and levered etfs are not ideal to hold for the long run.

How long is "too" long to hold them for? Is this something you guys would do? How do you guys hedge yourself from the market volatility? I do not have access to an options or a margin account so I cannot sell short.

Right now I have about 10% of my portfolio in these inverse etfs, the rest is in equities.

Thanks

Hey guys,

I'm new to the site and I'm looking for some advice

I have a first round interview at a hedge fund (>$5bn) for an Equity Analyst position from undergrad

I've had a summer in IBD at a top boutique and a few internships in BB's

I'm just wondering what the focus of the interview will be? Brain teasers/technical/fit/pitches

Any advice much appreciated

Anyone have any insight into Aurelius Capital Management in NYC? Have an upcoming interview so any info would be much appreciated. Thanks in advance

Hello, this is my first post on these forums, although I have been reading them for quite a while now, I've read most of the stuff on the hedge fund forum, I especially enjoyed reading that 20 page thread about the good, the bad, and the ugly about hedge funds, very informative. But anyways, I still have some questions about the HF industry.

A quick background about myself, I am currently 18, and will be starting starting college at Wharton in the fall. Also, if it matters for anything, my family is not super wealthy, so my parents don't have any connections or anything like that. I am not 100% confident that hedge funds/finance is something I want to do with my life, but it is definitely a major option.

Does anybody know some of the major hedge funds headquartered in Mexico, or of any lists of Mexican hedge funds?

Hi all,

Im currently working in ER but would like to move to HF as I feel that I have more interest in PM rather that research.

As some of my colleauge has commented and I have searched on WSO and find that various quant skills are a plus for HF. Coming from a Physics major, I have no problem with algebra or calculus. However, what "specific" mathematics are important to say a long/short equity or a market neutral HF, eg. hypothesis testing? normal distribution? probability? Regression? Non linear equations or calculus?

Thanks WSO!

Hello, I have an interview for an internship with a small hedge fund tomorrow. Does anyone have experience with what they will ask (Behavioral/Technical or both)? Any advice will be nice. By the way, I am going into my senior year at a non target if that makes any difference. Thanks

Anyone know hedge funds, any size, that focus on or invest in frontier markets? I'm particularly interested in the next set of emerging economies (i.e. non-BRIC) such as Indonesia, Vietnam, Bangladesh, Pakistan, Turkey, Nigeria, etc.

My main areas of interest are Indian Ocean rim (Indonesia, Pakistan, Bangladesh), but market caps are so small in these countries that any funds focusing in frontier markets probably invest all over the world.

Anything important I should know if I'm interested in working for these kind of funds? Specific skills required, career entry-points, whether language skills are important, etc.

(fyi: posted similar topic in asset management forum)

Two sigma is not well known, at least to me and the hedge fund rankings and not the first fund you think of when comparing funds like DE Shaw, Citadel and Renaissance. Its still small with about 300 employees with a heavy focus on computer science backgrounds - everyone except hr needs to pass a code test to be considered for an interview.

The role is different than at other funds described in "HF's the good bad ugly". Your not reading footnotes and doing due diligence, your looking at data and writing code to implement your ideas on how this data can be useful to make $.

But where does Two Sigma fit in the HF world? Its a DE Shaw spin off, but is the caliber anywhere near there? What other funds like it exist that are not well known but of the same caliber in NYC?

Have done a couple searches but don't really come up with much. Does anyone know of any hedge funds in Philadelphia?

So there are a lot of different prop shops out there. There are a ton of different strategies employed across an array of markets. Some are event driven equity shops, some are market makers, commodities, etc whereas some are exotic derivative - computer algo shops that I would only describe as say "the butterfly effect". I'd love for a senior trader(s) on this forum to perhaps describe the shop they work at, and describe the type of trading they do. Basically what your shop trades and how they trade. There are more than a few green guys out there like myself who have a broad understanding, but would love to learn more. Thanks in advance!

I know this has been posted on before (trust me I've read them all over the last 2 hours), but most of them are outdated or not specifically what I'm looking for. Anyway, here is my question:

I am an undergrad at a non-target school studying Psychology. I do have some decent business experience (intern with a local consulting/PE firm), a business minor, and a solid GPA, but I don't have an extensive background in finance, accounting, or anything of the sort. Somehow I got a first round phone interview with DE Shaw though for a finop summer position. I'm trying to prepare well for the interview but I can't tell if it is going to be all behavioral or if I should focus on studying for some technical questions. I've heard mixed opinions thus far.

Has anyone heard of them? Thoughts? They are an Asian-focused hedge fund based in Hong Kong.

background:

I have 0 hedge fund experience. Tried to break into M&A out of college but couldn't get a foot in the door. Passed CFA Levels 1 and 2. The company I was last working for dissolved. Currently working as a grunt at my father's law firm while I tread water.

A few weeks ago I cold called the MD of a small hedge fund here in town. It was brutal. He kept shooting down everything I had to say, but I didn't hang up and kept talking until finally he asked me what my passion was. I told him. He responded with "We do have some needs here, and what you described is almost exactly what we are looking for. I want you to talk further with so and so." So after getting my ass kicked for 3 or 4 minutes, I acutally ended up getting an interview.

Are there any hedge funds that only use fundamental analysis to make investments?

Long time reader, first time poster.

I'm considering taking the leap into finance. Hedge Funds are one of the areas I'm considering. I was hoping to hear some honest internet anonymous opinions from professionals in the field.

...If you could do it all over again, would you still go into hedge funds? why or why not? if not, what would you go into instead?

...are you happy that you chose to go into hedge funds? what are your favorite things about the job? what are your least favorite things about the job?

I'd really like to hear any opinions!

A brief introduction first :

I am doing my Bachelors + Masters in Chemical Engineering from IIT ( a reputed college in India).I have cleared my CFA L-1 exam and will mostly liking be taking my L-2 exam in June 2011( I would have finished my masters by then).
I want to break into the field of finance and have researched various career paths(thanks to WSO).I am pretty sure i want to work in the Asset Management industry .I am particularly interested in Hedge funds.So my questions are :

1.Are most Hedge funds highly quantitative in nature?

2. I know it is extremely difficult to break into a Hedge fund, but what would be the most common career profile of a person employed at a hedge fund.

2. IB---->MBA---->HF or AM (MF)---->MBA---->HF .Which is a better path?

Hello,

I am currently an intern at Morgan Stanley in their Institutional Equities Division , and my goal one day is to start a hedge fund or get into the Hedge fund industry. What is the best career path towards hedge funds , S&T in any product area or I-Banking in M&A or specific coverage group?

I am a Junior from a target and will be interning at an equity long/short hedge fund in NYC this summer with about 700m under management. it is not very well known, but has an incredible track record.

For hedge funds that are not well known, what is the best way to signal the quality of the fund on your resume?

Thank You.

I just read an interesting essay on how strategies/products you focus on in global macro should consistently be changing in order to find the largest trend with a good risk/reward ratio. The essay was by a hedge fund manager named Mark Strome, who after a few google searches, turns out to be an LA hedge fund manager who killed it in the early 90s, reportedly getting better returns than Soros or Steinhardt in '93. He seems to have completely fallen off the map though, so I was wondering if anyone could shed some light on whether he is still running money and what kind of style of global macro he used to/is runnning (is his background in commodities, FI, equities.. etc?). I know he worked at Kayne Anderson for a bit but that's about it.

Thanks for any info you have.

Is it possible to join a hedge fund out of college? I know most firms want you to have training already, but are there any that like to train the entry level positions themselves? What is a basic entry level position at a hedge fund?