Goldman Quant Funds Rebound In ‘08

Jun 25 2008 | 2:00am ET

A pair of Goldman Sachs quantitative funds, including its flagship hedge fund, has bounced back this year after a disastrous 2007.

Goldman’s Global Alpha—just one-fifth of its peak size, with about $2.5 billion in assets—is up 19% this year. The firm’s $1 billion Global Equities Opportunities Fund has returned 7% this year.

Last year, Global Alpha fell by 40%, and GEO fell by about 30%, both battered by market volatility in the wake of the credit crisis. The latter also required a $3 billion cash infusion last year.

Last week, Robert Litterman, chairman of Goldman’s quantitative investments, said the firm has learned its quant funds cannot be as large as they once were. At its peak, Global Alpha managed $12 billion, and GEO managed $6 billion.


In Depth

Debunking Conventional Investment Wisdom

Feb 8 2017 | 3:22pm ET

Due diligence in the hedge fund world has long involved some combination of the...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

iCapital Network: The Trump Effect On Direct Lending

Feb 23 2017 | 4:21pm ET

The arrival of the Trump Administration has raised questions among private debt...

 

From the current issue of