Tuesday, 25 November 2014
Last updated 6 hours ago
Jul 30 2010 | 1:29pm ET
With succession in mind, one of the world’s most famous investors is poised to hire a hedge fund manager to help him run his firm’s portfolio.
Berkshire Hathaway’s Warren Buffett plans to hire hedge fund manager Li Lu, a student leader of the Tiananmen Square democracy protests in 1989, The Wall Street Journal reports. The 44-year-old Li is believed to be the leading contender to take over management of Berkshire’s $100 million portfolio when the 80-year-old Buffett retires.
“In my mind, it’s a foregone conclusion,” Berkshire Chairman Charlie Munger said of Li’s hiring. Li and Munger are longtime friends.
Li founded his hedge fund, Himalaya Partners, in 1997, and has since founded a technology venture capital fund. The former dissident, who escaped to France and then to the U.S. in the wake of the Chinese crackdown following Tiananmen, has already earned Berkshire about $1.2 billion after introducing Munger to Chinese battery and auto maker BYD Co.
That investment helped Himalaya post a 26.4% compound annualized return since 1998. But the Journal warns that, aside from the BYD investment, Himalaya’s performance is “unremarkable.” The fund, which soared 200% last year in no small part due to BYD, is down 13% this year.
Nov 4 2014 | 9:45am ET
Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…
Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...