How applicable is learnings from working at a hedge fund to personal investing?
Restrictions aside, how applicable are strategies used at work to personal investing or do those strategies require certain infrastructure/capital an individual investor rarely has.
Somewhat related do any of you working in hedge funds actively manage your own investments (not index funds, etc.)?
Working in a hedge fund has convinced me that just going long beta is the easiest, best, and most practical thing to do. I don’t bother with stock selection for my PA. Maybe it’s just me i dont know.
Running net neutral, managing vol, playing quarters and ST narratives aren't really worth it for a small PA. You want long-term focused beta exposure which generates good returns over multi-year periods and is easy to manage. Most applicable takeaways are learning how to identify quality growth stories at reasonable valuations, buying 3-10 of them, and holding for 1-5 yrs.
Given heavy compliance restrictions, most analysts just buy index funds.
thanks for the insight, without restrictions do you think most analysts would still just buy and hold index funds or would they do something closer to what you mentioned and buy/hold 3-10 growth stocks they have conviction in
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