Hedge Fund Blogs From HedgeCo.Net


Category Archives: Hedge Fund Commentary

What We Learned About Fund Marketing in 2017

The following is a rapid-fire account of what we learned about fund marketing in 2017. We hope it helps inform your efforts in 2018. In no particular order: There is the general sentiment that things are changing.   Value is attached to marketing technology. (Managers are beginning to realize that the awkward use of a CRM system is suboptimal.)   […]

The Single-Malt Hedge Fund

Combining a Great Strategy with a Strong Brand There’s a high concentration of Scotch distilleries in Scotland: over 100 fully-licensed operations on an island with a population of < 5.5M people. To put it in perspective, there are more Scotch whisky distilleries than there are McDonald’s outlets in Scotland. On top of that, there are plenty more start-up distilleries entering […]

The Best Sales Training Story… Ever

Have you watched The Wolf of Wall Street? There’s a scene in the movie where someone is asked to sell a pen. My story also involves a pen. This happened long before the movie came out. I was a young punk who thought he knew more than he did.  (Some would argue that the only difference between then and now […]

Liar Liar

I have been lying to clients for years – and now I am coming clean. Hi. My name is JD…and I am a liar. These are my colleagues – and they are liars, too. They are just too ashamed to admit it. Man, it feels good to get that off my chest! If this were one of those “little white” […]

Marketing Risk Versus Investment Risk: A Manager’s Perspective

Hedge Fund managers risk millions, if not billions, of dollars every day. To better the world? Hardly. It is a business, and like any other business, they are out for profits. If we were ruling out altruistic motivations, which more often than not we can, logic would dictate that a manager would optimize risk to maximize the profitability of the […]

DITMo: Eavesdropping on an Adviser Meeting at Starbucks

by Peter J. de Marigny Statistical Mistakes Advisers Tell Clients  I was sitting at a table waiting for my appointment to show up at a local Starbucks when I overheard a financial adviser speaking to a client.  The colored chart printouts for asset allocation relative to the client’s investment horizon, liquidity requirements and risk tolerance filtered down to representative investments […]

The Great Contradiction

  Asset managers tend to be quite disparaging when it comes to marketing. Because it is all about relationships, right? Not exactly…   WHY DOES AN ALLOCATOR FAVOR CONNECTING WITH THOSE HE OR SHE KNOWS AND TRUSTS?   It’s much the same reason that any of us favor a known entity. We extrapolate forward, believing that the next exchange will […]

DITMo: Red Heifer versus Black Swan

by Peter J. de Marigny Introducing “The Red Heifer” in Capital Markets A “Red Heifer” is a rare event condition, however, it is an event that differs from a “Black Swan” in that it is not a return observation within a sample of chained return measurements.  A “Red Heifer” event is one that creates its own discrete data series.  A […]

DITMo: Death of the Black Swan

by Peter J. de Marigny “I cannot get there from here, baby And I don’t care where I’m goin’ Change, Unchained… Nothing Stays the Same” Lyrics from the Van Halen song, Unchained, may be applied to investors’ skeptical view of how asset returns are “chained” together for attributions.  These “chained” returns are then used to create an attribution of returns […]

DITMo: Hedging without Shorting?

by Peter J de Marigny, DITMo Capital, Newport Beach, CA In a bull market hedged portfolios generally underperform.  The problem for most investors is that reducing risk requires forgoing upside benefit.  Should reducing risk be a question of diversification only?  This is an approach of many financial advisors using mean variance historical returns to show an “efficient frontier” curve.  The […]