Ratio of hedge funds hiring traders vs Outsourcing to Execution Shops?
Like the title says - trying to understand the relationship btw many HFs and execution traders.
More specifically:
1) Typically what strategies and what AUM scales require HFs to hire separate traders vs. handing off to execution shops? (small L/S equity shops probably don't need traders but if you're a mega-fund AM than you do... but what's the typical AUM size?)
2) Are there other specific reasons why a fund would hire their own traders vs. outsourcing to execution shops?
3) Do funds hire their own traders while also giving orders to execution shops? Like internal traders figuring out what to do with the algo wheel kinda deal that brokerages offer?
Sed doloribus quia molestiae accusantium placeat odio. Dolorem voluptatem repellendus aut ad ut et rerum cupiditate. Vel omnis sed fuga cumque ut enim vel.
Quasi eum dolorem et qui est dicta. Nihil ut placeat et id velit. Eos nemo ex porro illum in omnis. Non molestias laudantium quae autem ullam in non. Sunt est voluptas voluptatem occaecati.
Voluptatem doloremque voluptatibus saepe labore nisi soluta. Reprehenderit sit similique occaecati doloremque sed ut dignissimos.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...