Glen scheinberg

Anyone have any info on his team at MLP. Have heard his name floated around before but didn’t realize how absolutely monstrous his Pnl generation was. 
 

According to BI best performing pod at MLP minting billions per year. If so he’s gotta be one of the best under the radar guys on the street 

https://www.businessinsider.com/millennium-hedge-…
 

94 Comments
 

Anything in particular you want to know? Best performing pod in MLP for 2 years in a row with a team size of under 40 (has outperformed WorldQuant in terms of pnl which is 800+ now)

 

I don't trade equities but I find it fascinating that a single team is generating such huge dollar PnL when most large/successful index arb desks I've heard of at platforms are generating max 100-200mm

Do you have any sense of how the team's progression was at MLP. Looking at Sheinberg's linked in he was just a VP at GS so I'm guessing he didn't come in guns swinging at MLP with a huge book. Did they have early blowout years and MLP just poured capital into the team? Also would be interesting to know if they're fully systematic or hybrid discretionary/systematic

 

Rumor has it the index rebalance guys got crushed this year (as in gave it all back crushed)

"one for the money two for the better green 3 4-methylenedioxymethamphetamine" - M.F. Doom
 

Damn he is living the MM PM dream life:  prestigious MM, working on interesting and profitable strat, living in Puerto Rico.  

 

I don't think there are drawdown limits when you're that big.  MLP is kinda trapped because that strategy is the vast majority of their PNL in equities hence the sizing of it.

I don't really get it though because investors are on the hook for the loss - the netting is just a disaster.

 

Too big to fail - they have no choice but to ride it out.  The market wouldn't take his risk and he is too big.

 

Huge pnl due to suicide sizing and record equity inflows sustaining this past few years.

What happens when the music turns ? 

He is too big to get out of positions and will take down the other funds as well because there is not that much skill in knowing the names, all about who can go biggest.

 

Is any of this actually true? MLP returns seem fine ytd based on what I gather.

flawed logic: chatter is that returns are fine, so this may be untrue. options:

1) return number you heard is wrong (unlikely but possible given that it sounds like you yourself are not certain of the number)

2) this whole thing is made up despite that everyone is focused on it and hearing things and was watching trades blow out massively (almost certainly untrue)

3) your heuristic for linking his PNL to MLP returns is specious (much more likely than other options)

 

There was a hedge fund trade letter talking about how similar teams at other shops were fired last month.  It seems unlikely that the largest player is fine YTD.

But MLP could be OK still as long as they are well diversified, and maybe fundamental equities / rates did well?

 

Hey, I’m a student. Can you explain a bit more what happened, I know that index arb is when you buy/sell stocks before they are added/dropped from major indices such as the SPY, but dont know how correlation plays into the mix.

 

This makes me more skeptical.  How do you hedge idiosyncratic names in a strategy like this when positioning delevers? Another rumor is that he is leaving.

 

millenium had pushed a note on nov 11 that funds were experiencing long and short liquidations. being they are largest/among largest within, wonder their degree of responsibility. 

 

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