I hope the long weekend went well for everyone. Here are a few snippets on hedge funds. You can piece together the story.
Recent and major departures from the hedge fund kingdom - Stanley Druckenmiller, Paolo Pelligrini, Richard Grubman and Lou Simpson - signal a trend of investors retiring at a time when hedge funds show the worst results in recent memory. The wave started with Druckenmiller, who was down for the first time in years and it just wasn't fun anymore. Then there was Pelligrini, also down, who said he fundamentally disagrees with the government's economic policies. (hat tip Alex Spiroglou)
It's a Hedge Fund Life: Investing Billions Takes a Toll on Star Managers (hat tip Dave Steckler)
It’s funny, but when quants do well, they all call themselves brilliant, but when things don’t go well, they whine and call it an anomalous market,” said Theodore Aronson, a quant fund manager in Philadelphia whose firm’s assets have dropped to $19 billion from $31 billion in the spring of 2007. (Steckler again)
Computer-driven mutual funds, chastened by a string of poor results and a wave of redemptions, are striving to bring more of a human touch to their investment decisions. These so-called quantitative funds, which rely largely on computer models to select investments, have been on the fritz for several years. A group of 65 such funds tracked by investment-research firm Morningstar Inc. lagged behind 72% of their category rivals, on average, in the three years ended Aug. 27. (Spiroglou again)
Then there is always this fun site tracking hedge funds that blow up - http://hf-implode.com/