Quant Macro Investing

Risk Taking Disciplined

NYT: An Office? She’ll Pass on That

Great interview with Meridee A. Moore, founder of Watershed Asset Management, a $2 billion hedge fund based in San Francisco.

(New York Times) …  So, if you can include someone who comes with a different perspective — as long as they embody the same values — it’s a great way to get to the right answer. It helped me to understand that hard work, intelligence and willingness to go the extra mile can come in all shapes, sizes and colors.

… There’s nothing better for sharpening your ability to predict outcomes than living through some period when things went wrong. You learn that events aren’t in your control and no matter how smart you are and how hard you work, you have to anticipate things that can go against you.

… If the person avoids answering the basic questions and instead changes the subject to talk about the work they did, that tells me the person is a bit rigid. Instead of trying to respond to what’s being asked, they’re trying to get an A on the test.

…  they have to be able to challenge others and have me challenge them without taking it too personally.

… Investing is all about learning from what you did right and what you did wrong. If you are too afraid to admit what you did wrong, you are setting yourself up to make an even bigger mistake in the future.

Editing Assistant: Lingli Li

March 15, 2010 Posted by | Hedge Funds | Leave a comment

For Traders, Big News Is Old News in Minutes

Twitter in particular has contributed to this phenomenon in recent years, some say. On Tuesday, the stock of Darden Restaurants (DRI: 42.02, -0.26, -0.61%) — owner and operator of casual dining restaurants such as Olive Garden and Red Lobster — started to decline. Ryan Detrick, senior technical strategist with Schaeffer’s Investment Research, an options-trading and investor education firm, looked on the newswires to try to find out why. When he didn’t see anything, he turned to Twitter, where he saw that an analyst had downgraded the stock to hold from buy. (Here for full article)

Editing Assistant: Lingli Li

March 15, 2010 Posted by | Case Study | Leave a comment

About Tudor’s Quant Funds

Some info on Tudor’s quant funds – hat tip Market Folly:

(Blog.CTNews.com) … Evans, [star trader of Tudor’s quant fund], has been a bit of a mystery, with very little written about his background or how many people he has helping him figure out the proprietary statistical formula that earned him positive 35.5 percent returns in 2008, and allowed him to grow his asset under management to $1.1 billion this year.

… Paul Tudor Jones shows his love for Evans’ trading skills by giving 10 percent of his $7 billion BVI Global Portfolio L.P. to the quant funds (Tudor calls it the “system trading group” – there 18 of them) that Evans helped build for Tudor Investment Corp. Of that $700 million, half of it goes right into the Tensor fund.  Talk about commitment — and maybe a little bit of pressure to perform — because that means a third of Evans total AUM comes directly from Tudor Jones flagship fund that he has a ton of his own coin in.

Editing Assistant: Lingli Li

March 15, 2010 Posted by | Hedge Funds | Leave a comment