Tips for Making Money from Hedge Funds like George SorosThe article below is an overview on how to make money from hedge funds like George Soros, a Hungarian-born American business magnate, investor, and philanthropist.
Hedge fund managers retain an almost mythic status in the investment world. They can move markets, break central banks and make billions of dollars in the process.
Who wouldn’t want to invest like a hedge fund manager? Like every myth, however, this is only partly based in reality.
Even stars such as George Soros and John Paulson do not always get it right. We tend to remember their successes and ignore their failures.
And for every stellar success, there are plenty of failures. In 2008, during the global crisis, many funds banned withdrawals as panicky investors headed for the exits.
Wealthy investors have forgiven them. Money continues to pour in – about US$38 billion in the first quarter of this year alone. Global hedge funds now boast more than $2 trillion of assets under management.
Hedge funds still have a slightly sinister reputation, says Tom Elliott, the international investment strategist at deVere Group in Dubai. “They stand accused of triggering the credit crunch of 2008, through excessive use of derivatives linked to the US mortgage market. Recent performance has disappointed, as they have failed to repeat the stellar returns of the late 1990s and early 2000s.”Source: The National