In retrospect Hubner was spot on, and nearly one year after making these predictions, Renaissance is reaping the benefits of its cautionary foresight and according to Bloomberg, the Renaissance Institutional Equities Fund, or RIEF, gained 8.5% in 2018, and even after losing 2.1% last month as U.S. stocks broadly plummeted it dramatically outperformed the S&P 500 Index which tumbled 9% in December and generated a total return of 4.4% in 2018.
Renaissance, which manages $58 billion in assets much of its money belonging to company employees, is the world’s biggest quantitative hedge fund and its outperformance came as most of its peers were whipsawed by volatile markets, resulting in one of its worst years ever for the hedge fund industry.
RIEF, which unlike the legendary Medallion fund is open to outside investors and manages $27 billion in assets and which trades only U.S.-listed shares, wasn't the only outperformer: another of the company's funds, the Renaissance Institutional Diversified Global Equities Fund, or RIDGE, gained 50bps last month and ended the year with a 10.3% gain. The outperformance of the fund, which follows a market-neutral strategy, is remarkable considering that most other market neutral and systematic funds suffered dramatic losses in December which dragged most of them into the red for the year as we reported last week.
https://www.zerohedge.com/news/2019...018-after-warning-significant-correction-risk
Renaissance, which manages $58 billion in assets much of its money belonging to company employees, is the world’s biggest quantitative hedge fund and its outperformance came as most of its peers were whipsawed by volatile markets, resulting in one of its worst years ever for the hedge fund industry.
RIEF, which unlike the legendary Medallion fund is open to outside investors and manages $27 billion in assets and which trades only U.S.-listed shares, wasn't the only outperformer: another of the company's funds, the Renaissance Institutional Diversified Global Equities Fund, or RIDGE, gained 50bps last month and ended the year with a 10.3% gain. The outperformance of the fund, which follows a market-neutral strategy, is remarkable considering that most other market neutral and systematic funds suffered dramatic losses in December which dragged most of them into the red for the year as we reported last week.
https://www.zerohedge.com/news/2019...018-after-warning-significant-correction-risk
