Mon, Nov 29, 2021
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Millennium Management shuts Prediction Company

Friday, September 07, 2018

Bailey McCann, Opalesque New York:

Izzy Englander's Millennium has shut down Prediction Company, a quant fund run by two high profile physicists that has been in operation since the early 1990s, according to a Bloomberg report.

The decision reportedly came as a surprise to staff at the firm.

Prediction Company was led by Doyne Farmer and Norm Packard, the physicists who developed chaos theory.

There has been a significant performance dispersion within the quant category so far this year. In July quantitative funds rebounded after a choppy few months, but investors have been quick to pull money from the cohort when markets get tough.

Prediction was a statistical arbitrage fund that was struggling with performance. The fund was outperforming the category, but it wasn't enough to keep it going. As a category, statistical arbitrage funds are facing their first down year since 2010.

Bloomberg noted that there was some strategy overlap with another Millennium fund - WorldQuant which runs its own statistical arbitrage fund. WorldQuant raised $2.3 billion for it's first fund open to outside investors this year.

News of the decision to close Prediction comes on the heels of some new hires at Millennium. In August, Amir Khandani and Neil Chriss joined the firm. Khandani joins from Morgan Stanley where h......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. PE/VC: Moody's warns of 'systemic risks' in private credit industry, Sequoia to restructure itself away from traditional VC model, Modeling private equity market beta, VC investors pour money into Chinese start-ups despite regulatory crackdown[more]

    Moody's warns of 'systemic risks' in private credit industry From FT: The burgeoning private credit industry of lending to buyout groups has grown to about $1tn, but opacity, eroding standards and the difficulty in trading these slices of debt pose "systemic risks", according to rating

  2. PE/VC: Private equity M&A frenzy has cautious undertones, Venture capital exit values soar, Private equity and venture capital drove outsized returns at Bowdoin, Harvard, and the University of Pennsylvania, Private equity tops explosive tech growth as returns rocket[more]

    Private equity M&A frenzy has cautious undertones From Reuters: Private equity dealmakers are in two minds. Buyout barons, led by titans like Blackstone boss Steve Schwarzman, are on track for a record year for takeovers. Yet they're also offloading companies at a much faster pace than

  3. SPACs: Trump-tied SPAC seeks Wall Street support, Nextdoor surges in public market debut after SPAC merger, Barrows Hotel Enterprises considers SPAC merger, Aussie SPAC targets big deal after NASDAQ IPO[more]

    Trump-tied SPAC seeks Wall Street support From Al Jazeera: Day traders and Reddit enthusiasts helped fuel a spectacular rally in Digital World Acquisition Corp shares, which reached a closing high of $94.20 last month before leveling out to recently trade around $60. The blank-ch

  4. Tiger funds change some stripes, Melvin Capital's comeback plan, What's behind Sachem Head's surge?, One of Asia's oldest hedge funds is buying distressed China debt[more]

    Tiger funds change some stripes From Institutional Investor: Falcon Edge, Light Street, Lone Pine, Viking, and Hound made significant buys and sells in the third quarter. Falcon Edge Capital Management exited its two largest U.S. long positions in the third quarter, according to

  5. Opalesque Exclusive: TRF - the right product at the right time (part 1)[more]

    B. G., Opalesque Geneva: Eurex, an international derivatives exchange and a member of the Deutsche Börse Group, has been churning out its pioneering Total Return Futures (TRF) since 2016. In a