LME Draws Ridicule as Nickel Markets See Third Day of Chaos (Financial News)
The London Metal Exchange’s attempts to restart nickel trading went awry again — a week after an unheard of short squeeze led the exchange to cancel orders and halt trading. False starts, IT and system issues thwarted metals traders hoping to resume a sense of normalcy to trading after nickel reached a record high exceeding $100,000 a tonne on 8 March. The LME not only halted trading for eight days, but took the extreme step of cancelling trades, infuriating traders including hedge fund boss Clifford Asness.
Are Tiger Funds Losing Their Appetite for Private Markets? (Institutional Investor)
Several well-known firms have not made a new private investment in at least a month. The smart money crowd is showing signs of cooling on private companies… at least for now. Tiger Global Management aside, a number of firms best known for their hedge funds have sharply cut back on their activity in the private markets over the past six weeks.
Renaissance Philanthropy: The Many Major Donors to Emerge From a Single Hedge Fund (Inside Philanthropy)
There are few contemporary Wall Street institutions more legendary than Renaissance Technologies, the famously profitable hedge fund founded in 1982 by mathematician Jim Simons. The firm has achieved peerless investing track records, including through its exclusive Medallion Fund. Renaissance is perhaps the best-known example of investing via quantitative analysis – hence the term “quant” – and was spearheaded by math whizzes and computer scientists rather than your more traditional Wall Street set.
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Five Lessons Entrepreneurs Can Learn From George Soros (Forbes)
George Soros is one of the most celebrated and divisive leaders of the 21st century. He’s a billionaire hedge fund investor, Holocaust survivor, leading philanthropist, financial speculator, boogeyman of the far right, geopolitical counselor, founder of a world-renowned university – and much more besides. Inspired by reading the recently released and excellent book “George Soros: A Life In Full”, a compilation of essays from Harvard Business Review Press, I wanted to offer five lessons from his life relevant to startup leaders, including fintech founders.
Hedge Fund Chatham Asset Management Sends Letter to RYAM Board Over Debt Maturity Concerns (Hedge Week)
Hedge fund Chatham Asset Management (Chatham), which manages funds that beneficially own approximately 6.3 per cent of the outstanding common stock of Rayonier Advanced Materials (RYAM) and is a substantial bondholder of the Company, has sent a letter to the independent members of the company’s Board of Directors expressing concerns that management is not taking action quickly enough to proactively address the Company’s upcoming debt maturities. In light of rising interest rates, Chatham delivered a suggested term sheet to RYAM management earlier this week outlining a possible exchange offer of the Company’s 5.50 per cent Senior Notes due 1 June, 2024 (the 2024 Notes) into new five year notes and proposed a buyback of a portion of the 2024 Notes that Chatham owns.
Hedge Fund Ellington Urges Ditching 60/40 for CLOs, Asset-Backed Securities (Bloomberg)
As the Federal Reserve continues to tamp down rising inflation with an aggressive rate-hiking schedule, it may make sense for investors to abandon a popular guidepost for moderate investor risk, according to Ellington Management Group. The classic 60/40 portfolio, a strategy that advocates holding 60% equities to 40% bonds, should be shelved for now and investors should rotate into sectors that benefit from rising asset prices and floating rates, the hedge fund said in a new report. These include asset-backed securities and collateralized loan obligations.
