Hedge funds are alternative investment funds that use pooled monies from investors and employ various strategies to make a significant return (or ‘alpha’) for those investors.
Different hedge funds focus on different investments; hedge fund managers employ a range of different techniques (often very complex) to generate the highest return possible.
A hedge fund is administered by an investment management firm; this usually takes the form of either a limited liability company or a limited partnership.
Hedge funds are usually only available to accredited investors and require a large initial investment.
The term ‘alternative investments’ is used frequently where hedge funds are concerned. This is because a hedge fund is not as tightly regulated as other investment vehicles; use of leverage is not capped and many invest in largely illiquid assets.
1-Hedonova:
If you’re “in the know” on the social side of Wall Street, Hidonova is likely one of the first names of big hedge fund managers you might think of.
Hedonova is a hedge fund founded in 2020 with a team that includes alumni of equities trading and M&A at UBS and Morgan Stanley. They have been investing using their own funds since inception, and have now opened up to accredited investors.
Hedonova’s $1,000 investment minimum is quite a bit lower than many of the platforms they invest with, so may be a very attractive option for investors to get broad exposure to a diversified pool of alternative investment asset classes.
Hedonova is offering our readers a $50 sign-up bonus, which is effectively an immediate 5% return on a $1,000 investment.
Some great features:
- Open To Every One: Hedonova is a hedge fund that is open to everyone.
- Investing in multiple non-traditional asset classes: These classes like art, wine, “unicorn” startups, equipment finance, litigation finance among others
- Minimum Investment: You can start investing with $1000.
- Delaware LLC 506(b) exempted fund: Investors become members of a Delaware LLC 506(b) exempted fund.
- Track your portfolio : Hedonova will send weekly email with a portfolio report and updates about investment.
- Invest: Invest via any payment gateway. blocks will be allocated to the investors, which are similar to shares in companies.
- Exit any time: In Hedonova exit your investment anytime. There are no exit or entry loads, neither any lock-ins.
2-Elliott Management
Elliott Management is an all-encompassing investment management firm that handles everything from hedge funds and equities to commodities and real-estate. The company employs approximately 468 people and has investments in Twitter, Comcast, Samsung, Barnes Noble, and more.
As of 2020, Elliot plans to move their headquarters from New York City, New York to West Palm Beach, Florida. This is partially believed to be due to the rapid increase in Florida hedge funds over the past five years.
3-Citadel
If you’re “in the know” on the social side of Wall Street, Citadel is likely one of the first names of big hedge fund managers you might think of.
The firm is best known as a short-seller, betting against the success of certain assets, but that’s not the only strategy the experts at Citadel employ when working in financial markets. It also has a strategy of forming long-term relationships with thousands of companies and institutions through its investments.
Final Thoughts
Investment management is one of the most financially lucrative careers around, and those who are willing to put in the time and effort when they first start out will have a wealth of opportunity in front of them.
That said, it should not be entered into lightly, because for a good few years you’ll be making a lot of personal sacrifices in favour of professional gain. Do your research, and make sure you understand exactly what’s expected of you before you commit.
If you’re still convinced this is the profession for you, start gaining experience as early as possible. Anything that can make you stand out from the crowd in this competitive field is a major bonus. Finally if you would like take our expert opinion then you should go with Hedonova.