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FYI: Multi-alternative-strategy mutual funds have been quietly fading into the background, reflecting the challenges facing alternative strategy mutual funds.
Plenty More Lined Up. With Better Ideas ? Steve Cohen and the Infinite Monkey Theorem By Michael P Regan a Bloomberg Gadfly columnist covering equities and financial services. Jul 27, 2016 2:05 PM CDT .. this theory came to mind while reading a Wall Street Journal article about how Steve Cohen is investing in a hedge fund run by investment firm Quantopian, which provides money to amateur quants who come up with profitable computerized trading strategies. These aren't exactly monkeys, of course; they're obviously much smarter. (The article mentions mechanical engineers and nuclear scientists.) But the idea is similar: Give enough people the right tools, and eventually you'll get Shakespeare. Or in this case, something even better: market-beating trading algorithms. Some 85,000 quant wannabes reportedly have signed up from 180 countries and created more than 400,000 algorithms trading U.S. stocks on the platform, and 10 have been selected to trade a few thousand dollars. .. It may be tempting to roll your eyes and dismiss the initiative as some sort of gimmick. That would be a mistake that ignores how much technology has democratized all manner of business models that previously had high barriers to entry And if you wanted to be the manager of a quant fund? Well, now it sounds as if Cohen and his crew are interested in knocking down those barriers to entry that stood in the way for a long time -- namely access to millions, or hundreds of millions of dollars, in capital. This will most likely inspire even more to storm the gates than the 85,000 that have already done so. Perhaps the only surprising part of this development is that it took this long to happen. http://www.bloomberg.com/gadfly/articles/2016-07-27/steve-cohen-and-the-infinite-monkey-hedge-fund-managers
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Plenty More Lined Up. With Better Ideas ?
Steve Cohen and the Infinite Monkey Theorem
By Michael P Regan a Bloomberg Gadfly columnist covering equities and financial services. Jul 27, 2016 2:05 PM CDT
.. this theory came to mind while reading a Wall Street Journal article about how Steve Cohen is investing in a hedge fund run by investment firm Quantopian, which provides money to amateur quants who come up with profitable computerized trading strategies. These aren't exactly monkeys, of course; they're obviously much smarter. (The article mentions mechanical engineers and nuclear scientists.) But the idea is similar: Give enough people the right tools, and eventually you'll get Shakespeare. Or in this case, something even better: market-beating trading algorithms.
Some 85,000 quant wannabes reportedly have signed up from 180 countries and created more than 400,000 algorithms trading U.S. stocks on the platform, and 10 have been selected to trade a few thousand dollars.
.. It may be tempting to roll your eyes and dismiss the initiative as some sort of gimmick. That would be a mistake that ignores how much technology has democratized all manner of business models that previously had high barriers to entry
And if you wanted to be the manager of a quant fund? Well, now it sounds as if Cohen and his crew are interested in knocking down those barriers to entry that stood in the way for a long time -- namely access to millions, or hundreds of millions of dollars, in capital. This will most likely inspire even more to storm the gates than the 85,000 that have already done so. Perhaps the only surprising part of this development is that it took this long to happen.
http://www.bloomberg.com/gadfly/articles/2016-07-27/steve-cohen-and-the-infinite-monkey-hedge-fund-managers