Top Names in Hedge Funds
Hedge funds have been widely touted for their potential to deliver magnificent gains. In fact, the most dramatic gains in hedge funds only come from a small handful of enterprising money managers. It's their success that has swept across the financial industry, lending all hedge funds a mysterious and sometimes dangerous magnetism. If you're interested in placing money in a hedge fund, then you should go with the best, when possible. Pay attention to these names for a look at the top talents in hedge funds.
In many ways, prosperous hedge fund performance in 2011 is even more impressive than in 2007. Despite less growth over the last few years, the best funds have still delivered double digit increases to their investors, and survived when many of their competitors were swept away on the market. While income growth in funds is the most important driver of a hedge fund's success for individual investors, many analysts believe it's worth looking at overall net gains to determine success.
Quantum Endowment Fund
Only a handful of high powered hedge funds fit these insightful criteria. The Quantum Endowment Fund created by billionaire investor George Soros is one of the oldest hedge funds in existence, and it remains dominant. Soros' funds have toppled the competition, netting over thirty billion. Reputation and business connections driven by Soros' lengthy career go a long way toward creating continued strength, and it shows as the Quantum Endowment Fund smashes records year after year.
Renaissance Medallion Fund
The Renaissance Medallion Fund managed by finance guru Jim Simons is the closest competitor to the Quantum Endowment Fund. While everyone else was delivering sub-par performance or closing up shop in 2008 and 2009, Renaissance Medallion investments returned over 33% at the height of the recession, easily trumping the markets and other hedge funds. Simons' unorthodox techniques for exploiting large transactions are a major driver of the fund's successes.
Passport Fund II
Meanwhile, John Burbank's Passport Fund II is a rising star for its consistent returns of over 20%, even during the height of the financial meltdown. Burbank's global outlook is a unique asset to his fund, resulting in lucrative payoffs that take advantage of obscure overseas trends. The Passport Fund II's entry requirements and maintenance fees are a good deal lower than other funds, which makes it attractive as well.
Investing in the Best
Hedge funds are high risk, and the rewards are potentially off the charts. For this reason, hedge fund managers always charge hefty commission and maintenance fees, and often set the bar high for entry level investments. To enjoy the benefits of the best, you'll often need available capital in excess of a million dollars. While individual investors see a lot fly away in fees and occasionally staggering losses, placing your money in a successful hedge fund for the long haul could mean crushing gains impossible to get elsewhere on the market.
If you're ready for investing in a hedge fund, scope out opportunities with these top money managers, or other firms like them. A good manager should show high performance and solid pooled gains to justify their expensive keep, and you shouldn't settle for less in the exotic world of hedge funds.
