That was a great interview. I enjoyed watching this young entrepreneur talk about launching his fund. A very mature discussion that many young folks should listen to. More of a how to become a successful person with financial success as a back drop. The interviewers asked insightful questions and really kept things moving. Great video. Keep up the good work!
this was worthless: he basically said general advice like network, be nice, know what your doing. I wanted to know how he started a hedge fund. i didn't learn that.
Not really, you just weren't paying attention. He gave you tons of insight as to how to setup and structure a hedge fund, what to expect in the first few years, what not to do, how to scale, and specifically which people to connect with as you grow. If you want "the 8 steps to starting a hedge fund", go on Amazon. Even just knowing that good stock picking doesn't make a hedge fund, and that thats not why people invest in them, is probably good enough info to make a lot of people rethink trying to start their own fund.
Feb 20 How I Started My Hedge Fund. Feb 28 Day In The Life Of A Burger Flipper All jokes aside, thank you very much for doing this interview. Always love seeing different perspectives.
@Alexander Leblanc I think if anyone claims to start a successful running hedge fund by 23, it warrants at least some scrutiny. Hard to fathom that you built that large of a network as this guy preaches by that age, there's probably more to the story. Not saltiness, just reasonable suspicion.
I took some notes! A hedge fund is not just stock picking..it's a business. You need systems in place to handle all inbound leads. Anything under $5M per client is just a lot of tedious paperwork. Stick with 20-25M. Starting a hedge fund may be down the road!
So many great points: recognizing the need to consider Marketing, operational backend, safeguarding capital,. Loved the line' have durability during volatility. You all left the best bit to last. Be nice and be a giver. Brilliant.
Super Mugatu! The Compound is like the jelly of the month club - the gift that keeps on giving. More Dan and Tony Dwyer please - can we get them weekly?
The books are yet to be written and the final losses yet to be tallied on how much a significant number of major hedge funds have cost the US economy since mid Feb 2020 because quietly and in the background, they have been bailed out en masse by a government that deemed them too big to fail. Why? They leveraged long and aggressively on a market they thought couldn't fail, and now we are paying for their gambling as we always do. And make no mistake, it was pure gambling, with multiple 10s of leverage with money they did not have, which was in the end, your money.
I was wondering how he made out, too. It was a vicious market. But with right strategies, you can make money in ANY market. Shorting, of course, needed in this market and getting out quickly when you were on the wrong side of things. A buy and hold strategy would have been painful.
Age aside here, where's the edge? He's a stock-picker. Looks like he'd worked for about a year before starting the fund and his partner was an analyst at Citi for a year before. Congrats on making it work, but genuinely confused who's allocating to him.
Scan the markets, looking for extremes to invest in and/or short-term trends to jump onto. And, remember, it is NOT concentrating on the money you want to make that will make you money. Nope. Not at all. It is making sure you manage concentrate on limiting any losses to keep them small while you can keep them small. If you avoid big losses, you will make money on your winners. Concentrate on making sure you keep losses low. Use OCO orders a lot. Use a trading platform that allows quick trading like ThinkorSwim by AmeriTrade. Know the fundamentals as well as the technicals. Many know just one or the other. But most importantly, know that the market is always right and that there is no need to take more than a small loss on anything. Don't love anything. Just love: 1) Not losing money. 2) Taking a profit when the rise stops (even if you only end up with a small part of that stocks/investment's overall rise. We've been doing extra-ordinarily well by doing this.
“I didn’t have my grandmas money” Dan has Philips Andover on his resume......guess he got the diversity high achievers scholarship to there and notre dame right?
Maybe not grandma's money, but grandpa's money, uncle and aunt's money, mom and dad's money, money from friends of the family, and of course money from his professor and from other school connections. It's not as if all hedge fund managers come from fancy private schools though. Just seems like it's a lot of them.
Don’t forget! For the hedge fund manger, this can be an extremely lucrative business. But for the investors? Warren Buffet trashed a group of hedge funds and won a 1 million dollar bet when the S&P index 500 fund that he was using as a comparison, far outperformed a group of highly paid managers over many years. Good luck!
Hedge funds is great but I think it's most prominent in the 80's. During this 21st century, I will advise you invest in the stock market as it brings about immediate and huge turn-over.
I also hold the same views but somebody told me that you can only invest through a manager but I became so skeptical since I heard that . How true is that?
@@jakethompson8737 The person who told you this must be an honest person because that is the best advice anyone who understood the market very well will tell you. Get yourself a portfolio manager who will manage your investment for you.
@@jakethompson8737 That's totally untrue. Anyone can invest and the downside to investing through a manager, is that a lot of your returns are eaten by their fees.
There was only one Star Wars movie. The original. Apart from the final comment, this is a very good interview and teaches so much about starting and running a personal relationship type business. Thanks.
This was a really great video. The take away is that you CAN start a hedge fund at any age and economic cycle but you should be prepared to face adversity both from the markets and your closest associates.
*Micro-primer for those desiring **_effectiveness_** with ANY start-up. Bottom Line? Soft-skills empowered by **_integrity_** rocks; fast-and-loose **_walks._* 🏆
He makes it sound pretty difficult in raising money for the fund, but I also remember having seen a fund called "The Astrologer's Fund" or something along those lines. How the hell did they manage to convince people to entrust their money to them?
WD Gann a very successful investor swore by astrological trading so I think he gave it some sort of "credibility" despite it sounding completely ridiculous and more than likely, it is ridiculous for most people.
Anyone can do good when the market is doing good. Even an idiot can pick winning stock in such time. But it is what you can do when market is crashing. The difficult part is when is it going to crash? Tomorrow? Next week? Next month? Next month? Next year? So it is the risk management and solid rock cold stop that matters.
You know a market is saturated when RU-vid channels show how newbies, who haven't even traded, can start a Hedge Fund. Anyone with enough money can start anything...Being successful is another story
This is great. this is actually true for all companies. I do social and price data analytics for retail companies. I can do the numbers and great at creating revenue with my insights. but stuggle with getting new clients expcet my main single monster client.
@ 19:38 The fact that the guy was asked if he read a specific book and then says he doesn't know shows he is a pathological liar and to never trust him. How do you forget if you read a specific book at 28 years old.
Great Video especially if you can read between the lines . Be Positive & Life Comes Around ! How's the Situation in North America? Things are going from Bad to Worse in Mumbai , India . That Double Mutation Strain discovered last Year has wrecked havoc since March 2021 ! The Maharashtra State Govt is thinking of Complete Lockdown(we are already in 15 day partial lockdown ) .Other States like Uttar Pradesh & Delhi have Sunday lockdown & weekend lockdown respectively since this yesterday. That Double Mutation Strain spreads via Air (not only droplets) & evades /escapes the immune system .Even people who got 2 shots of Vaccine became sick .
