Hedge Fund Management is what refers to a person who takes pooled together funds and invest them into aggressive stock options using several different strategies in order to gain a more active return for their investors. Hedge funds are capable of being aggressively managed or to be used to make use of derivatives in both domestic and international markets where they serve the sole purpose of generating high returns. Hedge funds can have lower correlations when used with a traditional portfolio that contains stocks and bonds, in order to diversify ones portfolio it is a good idea to allocate exposure to hedge funds.
The first hedge fund was established back in the 1940’s however, more recently investors both private and public, have been including hedge funds just one piece of what can be considered a well diversified portfolio for any investor. It should be noted that hedging is technically the act of making an attempt to reduce risk in your portfolio, despite what was stated earlier. the name is, at this point, only used for historical purposes due to the fact that the first hedge funds attempted to go against the downside risk by shorting the market. Which at this point seems unethical but that’s probably when its changed.
Investing into a hedge fund for the most part is largely unregulated because they exist to serve a higher level of investors. laws inside the united stated require most investors who are a part of the funds be accredited. Hedge Fund managers make like Ken Griffin on insidemonkey their money in one of two ways, they can either charge a fee for AUM and an incentive fee. this is typically twenty percent of total profits while an AUM is usually somewhere around two percent.
One of the most influential figures in the high stakes world of hedge fund management is Ken Griffin. He was born in Daytona beach, Florida in 1968 on October the fifteenth. He is the founder and CEO of the global investment firm Citadel. Citadel is one of the world’s largest investment management firms and ranks among one of the most successful financial firms in the world today. Kenneth Griffin is a noted philanthropist, having made one of the single largest donations to Harvard University back in 2014, by donating one hundred-fifty million dollars to the institution of which was his Alma Mater.
Griffin is a member of the Committee on Capital Markets Regulation, which is an institution dedicated to improving the regulations within the United States capital market. In 2014 he was elected to a five year term on the University of Chicago’s board of trustees.
Kenneth Griffin has three children with his wife Anne Dias-Griffin and is a member of the Presbyterian Church of Chicago.