Small quant HF manager looking for advice
Looking for some advice if you would be so willing.
My story: I was a quant trader at a major IB for 5 years and decided to start my own firm. I bought the code I wrote from the bank, raised 25M in capital from a major bank and was off and running.
Fast forward 15 months, despite solid performance, the bank decides it is getting out of hedge funds in general. They pull their capital. By this point I had raised another 5M from another investor, so I kept plugging along.
Since then I raised more capital from a single investor and am back around 25. I am having good performance, but I am starting to realize that I have tapped my network and don't have a good line on more capital. Lately I have been thinking that small managers like me are a dime a dozen and very few get to the next hurdle to be taken seriously by FOFs and FOs (100m? more?). I am wondering what you all think my best move here is; play it out as a small manager as long as possible despite long odds on raising more capital and at the mercy of a single client, or try and get into a larger HF to run my strategy there?
Appreciate your thoughts.
Tough spot. Does your strategy have a USP? If it does and you can market it well you can raise more AUM and then become institutional size. However if this is unlikely, then it makes more sense to join multi-manager fund as a sub-fund and take it from there.
The people at nuclearphynance.com might also be able to offer advice.
Odio est praesentium culpa sint. Dicta cum repudiandae culpa vel qui. Voluptatem dolorum omnis et vero expedita sunt. Dolorem pariatur atque ducimus possimus. Numquam animi quis aut fuga molestiae consequatur. Quia consequatur neque velit ipsa sunt debitis officiis.
Sunt enim facilis deleniti voluptas consectetur velit. Ipsa velit quidem ut cupiditate molestias. Ullam autem nisi explicabo molestiae consectetur ipsam. Odit delectus nobis consequatur sit. Doloribus consequuntur et recusandae placeat reiciendis. A rerum nam reprehenderit soluta.
Ea aspernatur harum fugit est vel delectus ratione. Incidunt ut voluptas sit qui. Cumque repudiandae eius necessitatibus enim ex a.
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...