Surpassing AI, the healthcare sector has become the largest holding of hedge funds... [more]Hedge funds have made a major rotation into healthcare, with the sector accounting for 18.7% of their total net exposure at the end of June 2026, overtaking information technology as their largest sector position. Goldman Sachs data covering 991 hedge funds with $5.4 trillion in gross equity exposur

Hedge fund scorecard: How Citadel, Millennium, and their peers stack up in a quiet August... [more]Multistrategy hedge funds posted generally muted results in August after a turbulent July. Citadel gained 0.1% for the month to reach 12.1% for 2026, Millennium was flat at 8.2% year-to-date, and Balyasny lost 0.7%, leaving it up just 0.5%; ExodusPoint gained 1.4% while Man Group's 1783 fund rose 1.

Jain Global, the once-buzzy hedge fund, closes its first act on a down month... [more]Jain Global lost 0.2% in August, its final month managing outside investor capital, leaving the firm up 3.7% for 2026. Bobby Jain's firm will now manage capital solely for Millennium while remaining independent, with more than 400 employees across seven offices and 65 portfolio managers.

"The problem with hedge funds is that most portfolio managers are no good"... [more]A former hedge fund employee argues that two recurring problems undermine new funds: portfolio managers overestimate their ability to generate PnL and firms pay them too much in guaranteed compensation. The author says the cost of recruiting and integrating portfolio managers makes launching a large

This hedge fund gained over 40% despite AI market chaos... [more]Singapore-based Quantedge gained 6% in August, taking its 2026 return to 42%, as long and short commodity positions drove performance alongside gains in equities and foreign exchange. Assets have climbed from about $5 billion to more than $7.2 billion this year, contrasting with losses suffered by m

This investor wants to turn El Nino into a windfall... [more]Australian commodities trader Les Finemore is seeking to capitalize on weather-driven agricultural volatility through Moreton Capital Partners, using machine-learning models to analyze historical weather and price data. The Mexico City-based manager is targeting $300 million to $400 million for a he

Hedge funds pose greater threat to US Treasuries than China ever did... [more]Hedge funds have become increasingly important marginal buyers in the $29 trillion US Treasury market as China and other central banks reduce their holdings. Funds now own about $2.6 trillion of Treasuries, while gross exposure reached $4 trillion late last year and repo borrowing hit $3 trillion, r

Japan and other foreign investors eye new hedges that could slam the dollar... [more]Pension funds and insurers across Japan, Canada, Taiwan and other markets had hedged just 41% of their foreign-currency exposure as of June 30, the lowest level since at least 2015. Bloomberg estimates that increasing hedge ratios by five percentage points across six markets could generate about $23

Texas Employees extends definition of hedge fund investments... [more]How do you define a hedge fund? Two guys in a garage with a Bloomberg terminal? A compensation scheme for managers with investors asking, "where is my yacht?"

Chicago Teachers Pension Fund finally settles on an investment consultant... [more]The Chicago Public School Teachers' Retirement and Relief Fund's investment committee voted 10-2 to rehire incumbent consultant Callan following a contentious search process lasting nearly a year. The Sept. 3 decision brings to a close an unusually prolonged consultant selection process for the pens

Oregon Investment Council adopts new asset allocation policy... [more]The Oregon Investment Council has adopted a new asset allocation for the Oregon Public Employees' Retirement Fund that reduces private equity while increasing exposure to public assets. The new targets include 26% public equity, 20% fixed income, 19% private equity, 10% each in real estate and real

FCA: Top 25 UK AIFMs manage half of client assets as private credit interest surges... [more]The UK's alternative investment fund management sector has expanded steadily since 2021, with specialist firms operating alongside a relatively small group of very large managers. The industry's net asset value has risen around 30% over five years, while the top 25 UK AIFMs now account for about hal

Morning Coffee: JPMorgan decides to get tough with Jane Street... [more]JPMorgan has reduced financing to Jane Street as the proprietary trading firm expands into areas such as US Treasury market-making that increasingly compete with the bank itself. The move illustrates the changing relationship between banks and trading firms as electronic market makers including Jane

Star Citadel trader to step down amid tumult in energy markets... [more]Chris Foster, the veteran trader who built Citadel's European natural gas business into a major profit center, is stepping down from his trading role and becoming a senior adviser. Stephen Carter and Adam Frame will lead the team Foster developed over nearly two decades, during which it played a cen

Balyasny's new AI fellowship program could get you a job on a trading desk... [more]Balyasny Asset Management has launched a New York-based AI Fellowship Program for junior-to-mid-level AI professionals, featuring three-month rotations across individual trading teams. Fellows will act as dedicated AI partners to portfolio managers and build tools for their teams, potentially provid

A tiny startup helping Google take on Nvidia is now worth $18 billion... [more]AI infrastructure startup Fluidstack has raised a previously undisclosed $1.5 billion round led by Jane Street at a valuation above $18 billion, after raising $750 million at a $7.5 billion valuation in July. The company, which is helping build infrastructure for Google and Anthropic and serves as a

Elliott, Air Liquide: Winter for Macron brings springtime for hedge funds... [more]Elliott Investment Management's investment in Air Liquide highlights the growing opportunities for activist funds in France as political weakness and economic pressures make corporate management teams more vulnerable to shareholder demands. Air Liquide has outperformed this year but trails rival Lin

Elliott builds Deutsche Telekom position, urges company to abandon T-Mobile (TMUS) merger... [more]Elliott Investment Management has built a position in Deutsche Telekom and is urging the German telecom group to abandon plans for a full combination with T-Mobile US. The activist instead wants Deutsche Telekom, which already owns about 53% of T-Mobile US, to direct more capital toward share buybac

China's NSSF posts 13.22% investment return, boosts overseas investment... [more]China's National Social Security Fund generated a 13.22% investment return in 2025, up from 8.1% the previous year, producing RMB390.6 billion ($58.1 billion) of investment income. Overseas assets increased to about RMB580 billion, or 15.23% of total assets, while the fund said it plans to use dynam

And, finally: "Unstable island" confuses Canadians... [more]A mysterious island that appeared and disappeared on a British Columbia reservoir has been found more than 18 miles away from where it was previously spotted.Officials said the island had vanished from satellite imagery by Aug. 5. B.C. Hyro said on social media Monday that the island has been loc