Why Renaissance Technologies is not in the Tops Hedge-Fund Ranking list?

That's their public fund, institutional equities, which is fairly mediocre, not the good higher frequency one. Medallion is the good one, but it doesn't report numbers since it doesn't have outside investors any more.
 
MoreLeverage said:
That's their public fund, institutional equities, which is fairly mediocre, not the good higher frequency one. Medallion is the good one, but it doesn't report numbers since it doesn't have outside investors any more.
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yes, Medallion Fund has averaged 35% annual returns after fees.
http://en.wikipedia.org/wiki/Renaissance_Technologies
I don't see there is any fund can be even close to 35% per year in long run.
Here is a snapshot:
http://www.hedgefundintelligence.co...-Years-of-Absolute-Return-Top-10-of-2013.html
none can be over 15% in long run.
 
By the way, is that true very few people in the world can really earn like 100% per year or more by themselves? This is always a myth. Yes theorically single person with so little weath comparing to hedge fund can buy/sell much faster than most of the ledge fund except HFT kind, then theorically a single person could earn like 100% per year or something like that. But I really doubt any human in the world can really constantly beat the 35% annual return of Renaissance Tech.
 
Remember Medallion's fees were really high too, so their pre-fee return was nearly double that.

As for beating 35%/year, well, I can do that on small money day trading but there's no way I can do it on $2B or whatever Medallions got these days. Non-scalable strategies are really more like businesses than investing.
 
MoreLeverage said:
Remember Medallion's fees were really high too, so their pre-fee return was nearly double that.

As for beating 35%/year, well, I can do that on small money day trading but there's no way I can do it on $2B or whatever Medallions got these days. Non-scalable strategies are really more like businesses than investing.
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Medallions use HTF so hard to tell how they do that. What kind of trading sytle do you believe in?
 
MoreLeverage said:
Remember Medallion's fees were really high too, so their pre-fee return was nearly double that.

As for beating 35%/year, well, I can do that on small money day trading but there's no way I can do it on $2B or whatever Medallions got these days. Non-scalable strategies are really more like businesses than investing.
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http://www.bloomberg.com/news/2013-...o-shield-profit-from-taxes-draws-irs-ire.html

This Bloomberg article claims the pre-fee return has averaged around 80% since 1988. The best trading is not related to investing at all and not a point of comparison. It is intellectual-capital intensive not capital intensive, so the return on equity can be very high. One can't keep reinvesting at that rate, it is a business niche with a capacity.
 
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