How did trading legends fare in recent years?

B

benwm

I am thinking of that select few such as Paul Tudor Jones, Bruce Kovner, George Soros, John Henry,...i.e. the BILLIONAIRE traders, not just the millionaire wannabees :D

Multi millionaire trader sponging off an investment bank's customer flow also doesn't count in my book...

Once you become a trading great, do you ever lose it?

Did the so called Black Swan event of 2008-09 cause these guys to lose a truckload, or did they simply show how skilled they are by enhancing their wealth?
 
Good idea for a thread. I would love to know more how the independant traders have got on in recent years, i.e trading arcade/locals. Because their style is more akin to how most of the people on here trade.

PTJ, Soros etc all manage hedge funds with billions under management with infastructure and research we cant compete with. However, in answer to your question there are quite a few publications that document fund performances including the funds that the people you mentioned trade with. And they have all remeained highly profitable... make you sick :-)
 
Don't forget the greatest of all time

John paulson

If it weren't for him George soros would not have been so profitable during the crisis
 
Quote from david666:

Don't forget the greatest of all time

John paulson

If it weren't for him George soros would not have been so profitable during the crisis
More...


Ummmm corrupt politicians don't count in my books as great traders.

They are more like great con men :cool:
 
Quote from PokerFXTrader:

Ummmm corrupt politicians don't count in my books as great traders.

They are more like great con men :cool:
More...

Ah, but you are wrong. Not responding to the first point.

To the second point that Paulson is a "trading legend", I respectfully disagree. I don't buy for a second that he "saw the crisis coming" or anything of the sort.

What he knew was something a lot of people in the business knew (namely that the subprime market was a ticking timebomb) but a lot of them either:
a) Didn't have the possibility to profit from it (because they were a long-only party in the market like the banks, mortgage brokers etc)
b) Didn't have the financial know-how to think of constructions that would let them profit
c) Just didn't want to get involved in that market at all (also because the purchasing of CDS certainly prolonged and deepened the crisis that ensued)

Either way, if Paulson knew what was coming he could've just bought some Citi and AIG puts which would've been a) much more profitable than his chosen positions and b) wouldn't have cost nearly as much leg work to get done (i.e. his trade took up a substantial amount of resources just to find counterparties for)
 
Quote from Locutus:

Ah, but you are wrong. Not responding to the first point.

To the second point that Paulson is a "trading legend", I respectfully disagree. I don't buy for a second that he "saw the crisis coming" or anything of the sort.

What he knew was something a lot of people in the business knew (namely that the subprime market was a ticking timebomb) but a lot of them either:
a) Didn't have the possibility to profit from it (because they were a long-only party in the market like the banks, mortgage brokers etc)
b) Didn't have the financial know-how to think of constructions that would let them profit
c) Just didn't want to get involved in that market at all (also because the purchasing of CDS certainly prolonged and deepened the crisis that ensued)

Either way, if Paulson knew what was coming he could've just bought some Citi and AIG puts which would've been a) much more profitable than his chosen positions and b) wouldn't have cost nearly as much leg work to get done (i.e. his trade took up a substantial amount of resources just to find counterparties for)
More...

Considering he bought cds protection for 2 pennies on the dollar I doubt any other position would have been cheaper id risk 2 dollars to make 100 all day if I saw a crisis coming or not its cheap protection to have at all times. And to say he didn't see it coming is mistake sure he wasnt the only one but he was the only one to go for it all the way. Soros and even Simmons from renaissance said paulson was miles ahead of anyone else
 
Quote from david666:

Considering he bought cds protection for 2 pennies on the dollar I doubt any other position would have been cheaper id risk 2 dollars to make 100 all day if I saw a crisis coming or not its cheap protection to have at all times. And to say he didn't see it coming is mistake sure he wasnt the only one but he was the only one to go for it all the way. Soros and even Simmons from renaissance said paulson was miles ahead of anyone else
More...

Obviously he made a good deal but one call does not make one a legend imo.
 
Quote from Locutus:

Obviously he made a good deal but one call does not make one a legend imo.
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Locutus,

Take some time to research his track record and you will see that he has made multiple great calls that have resulted in ridiculous payouts in 2007, 2008, 2009 and 2010.

Short financials, Long CDS protection, Long financials and long gold.

Not.too.shabby
 
Quote from itsame:

Locutus,

Take some time to research his track record and you will see that he has made multiple great calls that have resulted in ridiculous payouts in 2007, 2008, 2009 and 2010.

Short financials, Long CDS protection, Long financials and long gold.

Not.too.shabby
More...

Fine by me. I don't believe in legends in general. I'm not arguing that he is a very astute trader.
 
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