New Hedge Funds Net $10B, Half To RenTech

Aug 16 2012 | 4:06am ET

New hedge funds raised about the same in the first half of 2012 as they did during the first six months of last year—thanks almost entirely to Renaissance Technologies’ first new offering in five years.

All told, newly-launched hedge funds took in $10.4 billion in the first half, Absolute Return magazine reports. That’s slightly better than the $10.3 billion new funds garnered in the first half of 2011.

But about half of this year’s total went to a single fund, RenTech’s new Diversified Alpha Fund. Investors could not get enough of the first new RenTech fund since founder James Simons stepped away from day-to-day management of the East Setauket, N.Y.-based firm: It launched in March with $3.5 billion and topped $5 billion by the end of the half.

By contrast, the second-largest launch of the year was Encompass Capital, led by Citadel Investment Group veteran Todd Kantor, which gathered a little less than $1 billion. Arbalet Capital, founded by former Arrowhawk Capital Partners trader Jennifer Fan in January, netted $650 million.

One might have expected the flood of big names to come to market this year to have raised more than they actually have. Former FrontPoint Partners star trader Steven Eisman’s Emrys Partners launched with $22.9 million in March and now manages just over $50 million, a far cry from the $1 billion he managed at FrontPoint. And other new hedge funds launched by veterans of Barclays, Citadel and Goldman Sachs have failed to attract much beyond their initial seed investments, AR reports.


In Depth

Q&A: Neil Azous Talks Global Macro Investing

Nov 24 2014 | 12:41pm ET

Neil Azous is the founder and managing member of Rareview Macro, an advisory firm...

Lifestyle

Griffin Selling Chicago Apartment

Nov 26 2014 | 11:40am ET

Citadel Investment Group’s Kenneth Griffin is making clear to his estranged wife...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    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…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

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...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.