Why Do Hedge Fund Managers Make So Much?

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Hedge fund managers are usually some of the highest-paid people in the world often earning hundreds of millions per year if not billions per year. When you take a look at their returns, however, it’s often not even higher than the S&P 500, so why are they paid so much? Well, the answer is that hedge funds aren’t exactly paid to beat the market. While beating the market is still a top priority for many managers, their true top goals are to minimize risk and maximize alpha. Alpha is a way to measure risk-adjusted returns and it lets you know if a given investment was worth the risk. An investment does not need to beat the market to have a positive alpha value. If the said investment has a low enough beta value, it could still produce a positive alpha. This video explains the inner workings of hedge funds, and why exactly hedge fund managers are paid so much money.
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Timestamps:
0:00 - Hedge Fund Managers
1:35 - Client Base
4:42 - Beta
7:21 - Alpha
9:25 - Compensation
Thumbnail Credits:
Aaron Kotowski Forbes
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Resources:
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Disclaimer:
This video is not a solicitation or personal financial advice. All investing involves risk. Please do your own research.
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Опубликовано:

24 июл 2024

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Комментарии : 473

@michaellk2254 2 года назад

Watch me become a hedge fund manager and just buy s&p

@LogicallyAnswered 2 года назад

😂

@doctormokwena3574 2 года назад

Less Is More 💯

@ankitlakshya450 2 года назад

😂😂

@wutheaseng1116 2 года назад

I mean Ray Dalio’s fund bridgewater associates is mainly S&P

@omaralrifai2794 2 года назад

Hedge fund managers are generally compensated for the alpha they generate. Essentially, the returns they generate that are not explained by the market. It’s a decent strategy, but if your returns can be fully attributed to the performance of the market, your clients will probably pull out of your fund.

@akwa2273 2 года назад

When you have 100 million your priority is not to be richer and get another 100 million but to stay rich. Because there's basically no difference in the quality of life between having 100 or 200 million usd. But you will feel the heat if you're suddenly only worth 10 million.

@KobeLoverTatum 2 года назад

oh no, only $10 million what ever will they do.

@blair5475 2 года назад

@@KobeLoverTatum If you have debts and liabilities worth millions, then you will shit ur pants if you only had $10m left.

@HamZa-mm2im Год назад

there is a huge difference between 100m and 200m. You can afford to buy amazing things with the difference and improve the quality of your life

@stefanwolf8558 2 года назад

This is the best video explaining the appeal of hedge funds to rich people. I always assumed that because they underperformed the market most of the time + they have high fees that most of the rich people that invest in these funds aren't really savy when it comes to paper assets. For example they got rich in a different field such as manufacturing, real estate, food industry etc. so they don't really want to delve into the details of funds and just say "hey, this is where other rich people put their money, might as well trust the experts" and just blindly invest money into whatever fancy hedge fund they come across. Now, I understand the concept of capital preservation when it comes to managed funds. Not everything should be about gains. Buffett's rule no. 1 and no. 2 of investing!

@organizedchaos4559 2 года назад

Yeah it seems they just want to maintain their wealth and not have to deal with ups and downs. This is good if they want to take their money out and put it in something else.

@KB-vk7fj 2 года назад

O oooooo

@NnamdiNw 2 года назад

Can you not still do the same with index funds that have less equity and more safe bonds? Like the Vangaurd Lifestrategy?

@teejaybee8222 2 года назад

@@NnamdiNw You can and should, but the rich people think that paying someone else to play the stock market will "do better", it's not true, but delusion is a powerful motivator.

@golubhai1910 2 года назад

why not go with safer investment if you want to preserve your wealth. hedge funds are still way riskier and its not true rich people wants to invest in hedge funds. Just think this way U r very rich guy u tend to be followed by big fund managers and hedge funds (they are basically your friends). Now when u talk about money, investments its obvious fund managers and hedge funds guys can easily lure u to invest in hedge funds. Now market gives more return than hedge rich guys neither have time nor they care about that and they always go with the most trusted options (advice in their circle). My father buys so much mutual funds every year from agent (basically giving so much money to agents) , now neither he knows about cost neither cares much and always go with the trusted advice in his circle. Only thing is that we assume that everyone knows all that about finance and takes calculated decisions but thats not the case 99% people that dont belong to finance dont give it a much thought.

@laportafrank Год назад

One Mistake is not doing enough research before investing in a stock, another Mistake is not diversifying your portfolio. Investing all your money in a single stock or sector can be risky, since if the stock performs poorly you will lose a significant amount of money. I’ve seen of people accruing over $650k during recessions

@sherryie2 Год назад

Sometimes, the strategies to stay on constant green in a downturn markets are quite rigorous for the regular-Joe. Matter of fact, they are most successfully carried out by experts who have had a great deal of skillset/knowledge of the market. Maybe you should hire one.

@rickertcoles Год назад

@@sherryie2 Agreed! I first contacted a Financial Analyst because these days, it's easy to buy into trending stocks, but the task is knowing when to sell or keep. That's where my manager comes in, to help me with entry and exit points in the industries I'm engaged in. I’m currently 60% up in profits just in 5months with my initial capital of $160k

@flemmingbrooke Год назад

@@rickertcoles Please can you leave the info on how to reach your investment advisor here? I’m in dire need for one.

@rickertcoles Год назад

@@flemmingbrooke Sure. NICOLE DESIREE SIMON, a well-known person in her field, is my advisor. I got to know her through my wife. It's my wife that has her number, but you could further investigate her credentials and contact her yourself.

@flemmingbrooke Год назад

@@rickertcoles Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.

@wendyrosee 4 месяца назад

I keep loosing in real trade but win in Demo. Should I give up on Trade? What should I do? How may I do better? What I'm I doing incorrectly?

@janejane386 4 месяца назад

I HAVE INCURRED SO MUCH LOSSES TO TRADE ON MY OWN,I TRADE WELL ON DEMO BUT I THINK THE REAL MARKET IS MANIPULATED.

@vincentstewart1843 4 месяца назад

here is my problem I have been making losses trying to make trade. I thought to trade demo is just like the real..can anyone help me out or at least tell me on what to do.

@maureen... 4 месяца назад

having a mentor is also very important when it comes to Trade, with out that, it can be very frustrating.

@Godwin_blessing_felix 4 месяца назад

you must have these things in mind 1. Have a long term mindset. 2. Be willing to take *risk*. 3. Be careful, if you're not spending to earn back, then stop spending. 4. Never claim to know - Ask questions and it's best you work with an assistant.

@Mayor1248 4 месяца назад

The wisest thought that is in everyone's minds today is to invest in different income flows that do not depend on the government, especially with the current economic crisis around the world. This is still a good time to invest in gold, silver and digital currencies (BTC, ETH. stock,silver and gold)

@ashwin2k 2 года назад

You have a talent for explaining complex stuffs! This was the first time I actually understood someone talking about these concepts

@LogicallyAnswered 2 года назад

Thank you Ash!

@mokwenathato830 2 месяца назад

Loo l

@ronniechowdhury3082 2 года назад

The aim of hedge funds is to offer a different product compared to the market. The metric that actually a hedge fund offers is returns on a risk adjusted basis - Sharpe (or Sortino). That is to say, how much can you make per unit of risk. Thus it's aim is not to outperform the market on a % basis but on a Sharpe basis. If I can offer you 7% return with 1% vol, (Sharpe of 7) that is often far more appealing than 12% return (S&P500) with a 13% vol (0.95 Sharpe) I think that is missing in the video as the objective of a HF

@renediaz3919 2 года назад

That´s a really good point bud, a point not a lot of people see but that is really important in this context

@NnamdiNw 2 года назад

I often think the net returns are often neglected from the Sharpe ratio. Instead people seem to only consider the gross return per unit of risk. I reckon when you account for the management cost, that sharpe ratio might be affected.

@renediaz3919 2 года назад

@@NnamdiNw that fee doesnt really affect the ratio at all because it comes after the investment is done and after the gains have been collected. The risk in the market would be the same (which is the basis of the sharpe ratio)

@niikurasu2855 2 года назад

This and overall market correlation. People/companies that invest in hedge funds usually have stock market investments and use hedge funds as an non-correlating asset.

@nattersej 2 года назад

I understood that easily. thanks

@StoriesWithGR 2 года назад

I wouldn't hedge against this video! So beautifully explained!

@LogicallyAnswered 2 года назад

Thank you Gaurav!

@bigjohn2811 2 года назад

Hedge funds managers have higher expenses than a simple mutual fund. These expenses include top end private jets, the best pharmaceuticals, private islands, and the most in demand women of the night (or men if you swing that way) with an age that has no minimum.

@wanjohi 2 года назад

🤣🤣🤣 lmfao

@thomaspick4123 2 года назад

They are pigs.

@LogicallyAnswered 2 года назад

😂

@mosasako4679 2 года назад

Thats the biggest bullshit ive ever heard. Good one

@loser3357 2 года назад

🤭🤣😂😂😂😂😘😨😹

@alfienade6738 2 года назад

by having the FED, SEC and media in your back pocket, than initiate a campaign of aggresive shorting against a company, whilst you are building up your short position (which doesnt need to be declared to the SEC) than use the media to create bagholders. If you get caught keep the profits and pay the 50,000 dollar fine and keep the billions you made, extra points if you short with teachers pension (looking at you plotkin)

@572x 2 года назад

great video! very well explained. thank you

@cullentaylor6445 2 года назад

Oh my gosh I was a subscriber when you had less than 50k subs and I’m so happy to see how well it’s going!!

@LogicallyAnswered 2 года назад

Thank you so much for your sustained support Cullen!

@carlaldric545 2 года назад

Starting early is the best way of getting ahead to build wealth, investing remains a priority. The stock market has plenty of opportunities to earn a decent payouts, with the right skills and proper understanding of how the market works.

@cedricdesmet381 2 года назад

I truly agree with you on that,

@cedricdesmet381 2 года назад

I must say crypto is the future and with the way Bitcoin is climbing so high it's really advisable for people to invest now.

@cedricdesmet381 2 года назад

Mrs Kamilla helped me recovered all I've lost trading by myself

@lindaedi6320 2 года назад

Ever since I lost my job with the ministry, I have been surviving through my investment with her, am so glad I invested when I did. I’m earring $25k weekly with her

@lindaedi6320 2 года назад

Investment is that tiny line that separates the rich from the poor.

@danielvasquez3758 2 года назад

Love to see your videos again!! Do you have a schedule when you release them?

@LogicallyAnswered 2 года назад

Yep, Monday Wednesday Friday 2 pm central time

@BlackSwan-sq2iw 2 года назад

Hedge funds must achieve high sharpe ratio or sortino ratio. A hedge fund with high compounded returns but low sharpe ratio won't be able attract much clients.

@jhoncadalin5887 2 года назад

This is what I asked myself months ago, because I searched the average returns of hedge fund and I found out that it is lower than the average market returns.

@abhishekbal399 2 года назад

Fantastic. I am a CFA Charterholder and yet this video lent a new perspective to my view on Hedge Fund. Thanks

@MadeInChina700 2 года назад

I highly doubt you have your charter...but if you do you should give it back

@abhishekbal399 2 года назад

@@MadeInChina700 Don’t quite understand why you would want me to give it back. You could of course check in the member’s directory of the CFA Institute. The name is mine as it appears here . Go figure.

@MadeInChina700 2 года назад

@@abhishekbal399 Have you considered watching The Wolf of Wallstreet? That movie might be able to teach you about finance as well lol

@willl237 2 года назад

@@MadeInChina700 idiot

@johnmachenzie1613 2 года назад

2:50 What website is this? can someone tell me please

@jatinnandrajog8798 2 года назад

Great video !! As always atleast it provide some aspects of hedge funds.

@LogicallyAnswered 2 года назад

Thank you Jatin!

@sheheryarkhan3397 2 года назад

veyr informative. thanks for this.

@89Ayten 2 года назад

There's nothing a hedge fund manager could do that any regular ass person couldn't. Put money safe places, take them out of dangerous places. Real hocus pocus magic there.

@TheMrKeksLp 2 года назад

I sense sarcasm lol

@PatNeedhamUSA 2 года назад

There's no way someone would accept a 2.5B salary unless they also had a giga-back-door Roth IRA

@LogicallyAnswered 2 года назад

Hahaha

@subhajitdasgupta1644 2 года назад

Buying stock of future winners and then holding after putting them in Roth IRA... Ta Da

@vanesslifeygo 2 года назад

What kind of work...do they do for 100 to 120 years...when they fail to beat the market...

@alanarmstrong3186 2 года назад

the name of the channel is good bc it says "logically answered 3 days ago" .its cool

@stevengreidinger8295 2 года назад

The service is sometimes potentially legitimate, especially for pension fund customers, insurance companies, and the like. However, the fees are unnecessarily high, and some of the funds are using non-public information to figure out what other investors are going to do, perhaps only a day or even a minute before they do it. These methods are not providing a useful service. They only squeeze drip drips of money from people's retirement savings or insurance reserves. Some funds allocate capital to more useful enterprises without burdening them with too much debt. Let's reward them and regulate the others.

@tibofordeyn1529 2 года назад

Could you make videos on how the market works exactly? There's some concepts, like bonds, that I really don't quite understand. I might be alone in this tho idk

@LogicallyAnswered 2 года назад

Thanks for the suggestion Tibo!

@cipher_circle28 2 года назад

Im here too Buddy

@RahulPatel-nd7wc 2 года назад

MoneyWeek - On this channel you will get the video of how bonds market derivatives work they are 10 year old videos but completely relevant even today as theory/Basics does not change... so checkout that channel...👍

@shanginadildo 2 года назад

No, you're the only person in the whole world that doesn't understand that

@xynyde0 2 года назад

@@shanginadildo nope

@joshx413 Год назад

Your audio is noticeably lower than most videos. Every time I click on one of your videos. I have to increase my volume by about 15-20% and then decrease it once a video from someone else comes on.

@henrikraymond5235 2 года назад

The wisest thing that should be on everyone's mind currently should be. To invest in different streams of income that doesn't depend on government, especially with the current especially with the current economic crises around the world.

@binagital5665 2 года назад

His trade execution quality and profiting is well structured with great financial features.

@lindalily6924 2 года назад

Working with Romero pieto is the best thing that can happen to a beginner trader who is aspiring to be fruitful out of the market he is trustworthy and straightforward we surely need more men like him in trading world.

@jasonthomas269 2 года назад

Good good content.

@abscottcoleman400 2 года назад

Yes I'm a living testimony of Romero pieto his platform has also done a great thing for me.

@katlinmicheal8121 2 года назад

I've seen so many review about this man called Romero pieto who is he ?

@MM-jn9ts 2 года назад

The reason they get paid a lot is straight forward, Managing money is really hard. Managing a lot of money is even harder. People with a lot of money will pay people a lot of money to manage their lot of money, if they are really good at it. So if you are really good at managing money, you can make a lot of money managing a lot of rich people’s money. But to reiterate. Managing it well is really hard. Like: playing in the NBA hard.

@CXY96 2 года назад

I suppose my question is...how do you even become a hedge fund manager?

@DanskiV2 2 года назад

I think most hedge fund managers will start off in entry-level positions at a hedge fund and work their way up. You’d also need a bachelors degree (masters isn’t required, but is preferred) in Finance, Accounting, Business Admin. Obtain CFA, RIA, CHFR qualifications

@mrd8597 2 года назад

Hedging is an art. you have no idea how many of them become broke overnight, if you don't have a extreme knowledge.

@shivinunitholi2493 2 года назад

Thats because its one of the most risk-filled positions. And finance is all about - the higher the risk, the higher the remuneration.

@Nippleless_Cage Год назад

You missed the entire point of the video. Hedge funds are uniquely low risk.

@jonyu9333 2 года назад

Would be great to see the correlation of insider news and hedge fund performance. Don’t think its possible to beat the market consistently using technical and fundamental analysis alone in the modern world. Also similar for how independent the fund manager can be (from insider news) given the size of investments and their connections.

@LogicallyAnswered 2 года назад

Well, they don’t usually beat the market hahahah :)

@TobiasStarling 2 года назад

Tell that to Jim Simons

@LatenightNinja 2 года назад

#kengriffenlied

@javice9563 2 года назад

@@LatenightNinja no cell , no sell

@charmquark4373 2 года назад

Look no further than Jim Simons.

@luvax 2 года назад

Why all top hedge funds only in USA and few are from UK. there are no hedge funds from Kazakstan China etc why

@willl237 2 года назад

are you muslim?

@faisalsheikh7846 2 года назад

Really i want this video thank u very much sir love u ❤

@LogicallyAnswered 2 года назад

Glad to hear you liked the video Parveen!

@krishgupta7898 2 года назад

such a great analysis of hedge funds . i personally know few millionaires who are into these funds and it works gr8t for them. i always use to debate this exact thing with my friends but couldn't really explain it from now i will just suggest them ur vdo. BTW logically do u remember me? with u since start

@SaSa-fz5jp 2 года назад

I actually noticed you bro

@LogicallyAnswered 2 года назад

Thanks for watching Krish, and yes I do remember you!

@ionconnor1991 2 года назад

@@LogicallyAnswered amazing channel bro Keep doing your thing !!!!

@farbodba 11 месяцев назад

Skewness and kutrtosis are the next moments that must be taken into account when assesing risk adjusted return. Mean Variance 2D world does not tell you everything about the the risk of returns. Think os selling out of the money call or put. You would get alpapha, but the skewess and kurtosis of the protfilio has increased. Risk can not be eliminated, but only transfered and managed.

@RomanShteinikov 2 года назад

Incorrect data. Griffin is also the main shareholder.

@ShreyashPatil1811 3 месяца назад

4:17 Wait How your 1$ become 4/5 dollar stock just went 50% down. So without Leverage your 1$ will become 1.5$. and 10 $ will become 5.5$ instead of 5$.

@kartikaysharma3509 2 года назад

How do*

@TheDCGuitar13 2 года назад

Hedge funds claim to be betting on both sides in case knowing they plan on shorting and longing stocks in a way that prints on both sides of the options play.

@jeevanjprince8628 Год назад

Another thing about hedge funds is that they do not have to report their losses.

@Goliath972 2 года назад

Now , Majority of people search how to became a held fund manager

@Neelmanib 2 года назад

what tool did you use to calculate the annual return at 2:36 of this video

@LogicallyAnswered 2 года назад

www.investor.gov/financial-tools-calculators/calculators/compound-interest-calculator

@Neelmanib 2 года назад

@@LogicallyAnswered this doesn't seem like the same tool. I'm not able to calculate IRR in the same way as the screenshot

@footedit8159 2 года назад

Can a retail trader do hedging and if yes how

@NoSkillDwnload 2 года назад

By buying derivatives with a strategy against your position. For example buying Tesla puts while owning Tesla stock

@caob1876 6 месяцев назад

Most people can’t pay rent but some people are throwing around billions . The world is fucked, let’s see how this implodes.

@davidjohnson8655 2 года назад

I'm the guy who doesn't think Wall Street needs to be held more accountable. I already know who is expected to hold them accountable, and I apply logic to the situation. I believe if our politicians were held accountable, Wall Street would not have ever been an issue.

@davidjohnson8655 2 года назад

I still left a like of course, because I'm not that savage.

@RoccatAlex 2 года назад

But the hedge is very expensive not just 10% of your position

@michaelzorrot5 2 года назад

Another concept to consider is affluent investors sometimes overweight hedge funds and underweight passive investments if analysts believe we are heading into a period where active investing will outperform passive investing. This is common during volatile times.

@krs4129 2 года назад

GameStonk oh yeah

@8088I 2 года назад

Skipped over Preferential personal tax treatment on top of top of pay - for HFMs. It makes a Yuuuge difference!

@Sarah-vh4wt 2 года назад

Wall Street definitely needs to be held more accountable and not sure it’s worth it!

@sanskarjain9465 2 года назад

a video on parag agarwal would be amazing!

@LogicallyAnswered 2 года назад

Thanks for the suggestion Sanskar!

@dr.kawasaki7380 2 года назад

They keep the money safe, pay themselves after everyone gets their interest paid 🌟

@sanesanyo 2 года назад

Ken Griffin did not take that money from his hedge fund business alone. You are forgetting that he has major equity in one of the biggest market maker out there i.e. Citadel. So what you are quoting is actually misleading.

@Heresheis0818 Год назад

Ferrari# Lamborghini #Aston Martin & Movie Producers, Tom cruise # Taxation , Social security

@backlashstudios6088 2 года назад

Maybe I’m an idiot but I still don’t get it. If the point is to minimize risk and capital preservation why not just not invest your money and hold cash, and if inflation is a concern why not just put your money into gold and silver. Or just buy the S&P500

@kynfali3857 2 года назад

Slow....

@clemenza4 2 года назад

BUY AND HOLD!

@sonyboybluespower 2 года назад

Secret ingredient is crime

@sukuti 2 года назад

Dude on thumbnail makes billions from CRIME!!

@traveleralden4867 2 года назад

Isn't that Kenneth Cordele Griffin on the thumbnail, who is a known financial criminal that abused his wife?

@aash9628 2 года назад

What ever he explained is CAPM. Its not reliable but, check it out

@Afrocanuk 2 года назад

Why do hedge fund managers continue working after their first paycheck?

@LogicallyAnswered 2 года назад

Well, it takes decades to get to such a position. And usually, they aren’t doing it for the money.

@train_xc 2 года назад

It’s the thrill of winning

@dannyshap8698 2 года назад

@@LogicallyAnswered That's not true, respectfully. You can become a hedge fund manager the entrepreneurial way by building up your own track record and impressing people with it.

@sanji2158 2 года назад

@Tony G The money is absolutely a part of the "Thrill" though, lets make that completely clear. Along with social benefits and feeling of self importance

@desfordjames4040 2 года назад

Am back ,do a video for Trinidad and Tobago 🇹🇹

@vatsalsaxena3551 2 года назад

The one who has power is right.

@TheBlackfire218 2 года назад

Risk adjusted return

@behemoththekitty 2 года назад

Dude in the thumbnail is what Putin would look like if he was Anglo saxon.

@mahavakyas002 2 года назад

it's not "income" dude.. it's all cap gains.

@adityabakshi6979 2 года назад

Make a video on high frequency trading

@LogicallyAnswered 2 года назад

Thanks for the suggestion Aditya!

@thomasfriedl3137 2 года назад

Nice

@LogicallyAnswered 2 года назад

Thanks for watching Thomas!

@albertovalentini7354 2 года назад

Citael hedge fund is very complex investment machine, you have to consider that every single day, Citadel invest over 500 billion with Huge gross leverage in almost all world markets: stock, furtures, bond, commodities, currencies, CDS, CDO and OTC market. Is literraly a huge huge powerhouse. And is not the single source of profit for griffin, there is another source, wich most people does not known: Citadel Securities

@limaautomotivo1268 2 года назад

Very simple answer: because our society and financial system are just sick enough to have this disparities. There is no logical reason for people making this much money and others just barely surviving. Greed and corporate diseases make this reality possible. Sadly, there is no room enough for this money in their coffins...

@Z8pwu142 2 года назад

That’s not entirely true. Most of the money Ken Griffin makes is through naked shorting (which is illegal) companies into bankruptcy. They use swaps to hide their shorts. The most famous example is GameStop, at which they failed. The stock still is shorted over 200% per SEC report (so 100% more than there are shares of that company in existence). That’s how short squeezes happen. Btw Ken Griffin doesn’t only have a hedgefund but is also a Market Maker, which means there is a huge conflict of interest, since he can regulate the market and also profit off of it. They also use high frequency trading to make bets against you, as soon as you’re trying to buy something. Major examples of companies that went into bankruptcy because of Ken Griffin and Citadel are Toys R Us or Blockbuster.

@ProfAzimov Год назад

And it totally wasn't Amazon and Netflix who bankrupted Toys R Us and Blockbuster. Bad business model? No, it was totally just Kenny G. You are not the smartest

@karimghoneim9576 2 года назад

Damn bro, that's amber huge

@adityaradisty5542 2 года назад

Basically they are high tier gamblers

@ashvinla 2 года назад

The concept of hedging makes sense to people whose wealth is tied to couple of companies (Bezos, musk, Cuban ,etc.). It will doesn't make sense to a multi millionaire. They can invest their discretionary income in S&P and get return. So I don't understand why there are so many hedge funds catering to maybe 1000 billionaires.

@evilJim555 2 года назад

as someone who works in Private Equity, yea it's something more so along the lines of: A lot of millionaires are looking to diversify their assets and mitigate losses EVEN if on paper it makes more sense to dump everything into S&P... a lot of times they want security > profit. And then those who want profit want x amount in one area just so they dont have all their eggs in one basket. Also with owning a hedge fund comes great power and boasting rights. So most of the time these firms are actually not profit positive and are breaking even, but they just do it for the ties and connections they make.

@ThePsychicProject 2 года назад

you kind of answered your own question a bit: 1000 billionaires are at least worth 1 trillion. In reality the richest 1000 billionaires are worth a lot more than that. So its a big market to cater to, on top of what @jim bob said

@furn2313 2 года назад

0:45 did he grow up?

@a.s.h.5774 2 года назад

First I've seen you, but great video and channel man, seriously! Like'd and sub'd

@LogicallyAnswered 2 года назад

Thanks man!

@abigailangle8564 2 года назад

Sometimes I really wondered how people make this huge profits investing on the stock market online, I agreed with you investing and earning is a legitimate way to gain financial freedom, but how is it done?

@robbietaylor7848 2 года назад

Wow am shocked someone mentioned and recommended Mr Jeff O'Reilly I thought am the only one trading with him.

@marypeggy8172 2 года назад

Wow I just made my first withdrawal today, trading with Jeff O'Reilly

@marypeggy8172 2 года назад

Indeed he is an expert

@marypeggy8172 2 года назад

All thanks to my aunty who introduced him to me.

@richardleonard5136 2 года назад

Who's this professional everyone is talking about, I always see his name at top comments on every RU-vid video I watched.

@you_mad 2 года назад

its time to end them......... lets do it....

@amacdonald760 2 года назад

Let's all become hedge fund managers. Buy companies on the cheap, sell off all their assets, lay off their employees, think short term only. When done, move on to the next company and repeat. Don't need a Harvard MBA to figure that out.

@priyanshuchaudhary8555 2 года назад

thats what corporate raider did in 80s

@priyanshuchaudhary8555 2 года назад

which is kind of illegal now

@priyanshuchaudhary8555 2 года назад

so i suppose you would need a harvard degree now

@amacdonald760 2 года назад

@@priyanshuchaudhary8555 They are doing it more today than in the 1980s. Buy a company, plunder its assets, move on when done. It's greed, greed and more greed

@maxlew1847 2 года назад

Operated these funds just but your 100 million in the S&P and don't look at it you'll fare much better.

@chumaggots666 Год назад

Funny thing I was thinking about it

@Gitohandro 2 года назад

Please do bonds next? Also, how much did the hedge funds pay you to say this? 🤣

@LogicallyAnswered 2 года назад

Lmao, do you really think they would pay me hahaha?

@MaDrung 2 года назад

Crazy how much useless work is being done and how much money it takes to pay these people. IT's not going into anything usefull, it's just gambling and getting paid for it. The whole system needs to change.

@MDaDonLegacy 2 года назад

Ummm, Larry Fink?? LOL How could you not mention Larry Fink.

@georgeemil3618 5 месяцев назад

Big Short CDO Manager says to Mark Baum: Society values me very much. How much does society value teachers, nurses and garbage collectors? Not very much. How much value do hedge fund managers bring to society? How much value to teachers, nurses and garbage collectors bring to society? Can society function without teachers, nurses or garbage collectors? Can society function without hedge fund managers?

@nimitz2555 2 года назад

In other words, do you have the balls for it.. Because it takes a certain type of someone to do what these guys do

@johnott4149 Год назад

Look at the fees

@YasinNabi 2 года назад

if you are not making money as passive, then you are living poor..... salary is not the sign of success

@menguardingtheirownwallets6791 2 месяца назад

Well, if you are really good at delivering 120% to 200% returns, for each of the past 4 years, you find that there are quite a lot of people who would like to invest their savings with you, and that adds up pretty quickly.

@johnl.7754 2 года назад

So that rich investors can sleep well at night instead of worrying about their investments.

@Lambyyy 8 месяцев назад

It's quite disingenous to point out a specific year for Citadel and then claim that they are not beating the S&P500, while ignoring the long-term view and other years where they consistently outperform. I think you know this is the case already, but you should have just compared the average hedge fund % vs S&P500.

@JakeInvest 2 года назад

Thank you-aa for-aa making-aa this-aa video-uhh

@darrellrayford3817 2 года назад

Any other aspiring quantitative hedge fund managers in the comments?

@jpierce2l33t 2 года назад

Another banger Hari!!! Hey, can I make a request? How about something on high frequency trading? I feel like it's not talked about much these days, and while I know a bit about it...a video with you at the helm with your amazing research skills would be awesome!

@LogicallyAnswered 2 года назад

Thank you so much man! And I appreciate the video suggestion!

@jpierce2l33t 2 года назад

@@LogicallyAnswered for sure buddy! If the username doesn't look familiar, I'm Justin Pierce...I just changed it bc just having my real name out there was starting to seem a bit much 🤣

@mikhailsharon4331 2 года назад

They are highly paid but their performance is inferior to index.

@LogicallyAnswered 2 года назад

Yes

@kirilmihaylov1934 2 года назад

@@LogicallyAnswered not all though

@13anomalous16 2 года назад

I don't care what they do, I just want some of the profit from their shenanigans too..........

@nayanmipun6784 2 года назад

Hedge funds which are mainly trading provide 20 % of returns per year Which is a lie, trading itself can bring more than 500 % per year, of course hedge funds want to keep the profits for themselves delivering only 20 % of the returns to the customer