We Are All In The Wrong Line Of Work

Anyone who says the American Dream is dead doesn’t work at a hedge fund. Last year, hedge fund employees earned more money for lower performance. The 2015 Hedge Fund Compensation report indicates that hedge fund professionals’ bonuses and salaries increased this year, and that funds plan to boost hiring in the near future. However, according to…

Details

Do Financial Experts Make Better Investment Decisions?

I have only seen the abstract of this article so far. However, the abstract as usual does give away the plot since it states – We provide direct evidence on the effect of financial expertise on investment outcomes by analyzing private portfolios of mutual fund managers. We find no evidence that financial experts make better investment decisions…

Details

Porsche: The Hedge Fund That Also Made Cars

In 2008, Porsche was cruising.  The luxury car manufacturer generated $13.5 BN in pre-tax profit, and sold a record 98,652 automobiles — a staggering $136K profit per car sold. Even for a luxury brand, the numbers seemed nearly impossible. Upon closer inspection, $11.5 billion dollars of that profit wasn’t from selling cars — it was from speculating on financial…

Details