I think you guys need to raid the Princeton and NYU math departments ASAP. https://www-bloomberg-com.cdn.ampproject.org/c/s/www.bloomberg.com/amp/news/articles/2018-03-14/two-sigma-hedge-funds-see-slow-start-in-2018-as-quants-struggle
From what I heard, they've tried very hard to expand to the realms of financial services. Well, not so successful so far.
Meh, they mostly have a good PR agency that tries to advertise them as a good tech firm. I don’t think they were ever renowned for posting high returns.
Two Sigma has had fantastic returns (risk adjusted) in most of their absolute return funds for many years. All their absolute return funds are closed to new investors. They regularly win awards based on performance. Here's one (can't link to the actual award because that requires a login). https://mobile.twitter.com/absolutereturn/status/808386363024408576 No one allocates $$ based on PR.
Thankfully they rejected me in the final round for a quant position a couple years ago.
“Last month was brutal for quant funds, as volatility spiked...” quant funds claim to thrive in volatile markets. They used low volatility as an excuse for returns lower than an index in the past years... 🙄
All ears about the layoffs if that would happen
The more money you have, the harder it is to spot opportunities to beat the market. 52bn is a fair bit of cash. Even Warren Buffet is having trouble these days.
It’s not like they put the entire money into a single strategy. It would be put in multiple ones anyways and every strategy has a limit upto which it performs optimally
His point is correct though. The strategies returning 20% might only work up to $100m and there might be only 10 of them. Finding more becomes marginally harder with each one (read takes more research $). But anyway, Great — you’re making 20% on $1 billion. Now what do you do with the other $51 billion?
Go find a friend at Renaissance Technologies & give all your savings and money there
I tried, they won't take my 15 dollars. <3 Jim Simons
FWIW, the medallion fund the primary cash maker doesn’t take any outside capital.