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farmer
Posts: 13477
Joined: December 16th, 2002, 7:09 am

How does Renaissance Technologies invest?

July 21st, 2010, 12:35 pm

QuoteOriginally posted by: farmerPerhaps Simons makes his money by avoiding the Wall-Street bonus culture. He hires only researchers from academics and low-salary scientific backgrounds.I don't know about Simons, but check this out from the jobs forum:QuoteStatistical Research Strategist (Academic from a non-finance background required) - (London, Connecticut) The firm is a quantitative hedge fund with a fully systematic approach to trading global equities & futures. They were established in 2001 and employ around 100 people. The central London office is the hub of the firm but they also have an offices in Connecticut, USA. The company fosters a collaborative academic culture and typically hires candidates from universities and non-finance industries with backgrounds from academia or industry in (statistics, econometrics, physics, computer science, maths, and engineering). The ideal person should have an academic background with an interest in joining a high quality research focused environment within a finance company that nurtures talent and provides on-the-job training. The firm operates a meritocratic approach and talented researchers receive 6 figure remuneration.The career path would be: researcher > research manager > partner.You can probably buy a house for $80,000 in London, CT. Does that imply you don't get a profit share until you make partner?
 
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acastaldo
Posts: 1416
Joined: October 11th, 2002, 11:24 pm

How does Renaissance Technologies invest?

July 1st, 2013, 2:40 pm

Tax strategy involving 'basket options' partially revealed in this IRS pubhttp://www.irs.gov/pub/irs-utl/am2010005.pdfsee also "Simons strategy to Shield Profit draws IRS ire"http://www.businessweek.com/news/2013-0 ... ws-irs-ire
 
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Positron
Posts: 129
Joined: June 18th, 2013, 5:52 pm

How does Renaissance Technologies invest?

July 1st, 2013, 6:39 pm

QuoteOriginally posted by: farmerPerhaps Simons makes his money by avoiding the Wall-Street bonus culture. He hires only researchers from academics and low-salary scientific backgrounds. When certain strategies have very profitable runs, these types of employees have no sense of entitlement to the returns. So he is able to lever up and dial in whatever is working with double the returns and half the risk of city firms, because he isn't splitting the profits with anyone. He buys pizza for the whole office at lunch, knows the name of everyone's dogs and daughters, and everyone is happy.The employees are well paid because they are comparing their pay to NASA salaries, not to the amount of money their research is generating. $400,000 is a lot in a year, unless of course your work produces a few million or more. Some types of employees go after their share, some don't. You hire the ones that don't, your returns will be incredible.The researchers are paid OK, compared to elsewhere on Wall Street, no need to worry about them. The place is run more like a kolkhoz, to make a change in a strategy (unless it's a bad bug), the researcher has to make a presentation to everybody else in research group, explaining it.
Last edited by Positron on June 30th, 2013, 10:00 pm, edited 1 time in total.
 
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rmax
Posts: 6080
Joined: December 8th, 2005, 9:31 am

How does Renaissance Technologies invest?

July 2nd, 2013, 9:32 am

QuoteOriginally posted by: acastaldoTax strategy involving 'basket options' partially revealed in this IRS pubhttp://www.irs.gov/pub/irs-utl/am2010005.pdfsee also "Simons strategy to Shield Profit draws IRS ire"http://www.businessweek.com/news/2013-0 ... -irePhrase: Tip of iceberg comes to mind - but I mean that in relation to the market rather than Simons
 
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investor82
Posts: 24
Joined: May 21st, 2013, 5:55 pm

How does Renaissance Technologies invest?

July 4th, 2013, 10:43 pm

I can consistently beat the market. Up 25% since May when the market is flat, so if I can do it certainly a genius like Simmons and his team can do it. It's about looking for small patterns, inefficiencies to exploit. Second, always trust your intuition. If you think oil is going higher just buy it/ Don;t equivocate. Be bold, and trade bold.
 
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yugmorf2
Posts: 87
Joined: November 21st, 2010, 5:18 pm

How does Renaissance Technologies invest?

July 15th, 2013, 7:27 am

QuoteOriginally posted by: investor82I can consistently beat the market. Up 25% since May when the market is flat, so if I can do it certainly a genius like Simmons and his team can do it. It's about looking for small patterns, inefficiencies to exploit. Second, always trust your intuition. If you think oil is going higher just buy it/ Don;t equivocate. Be bold, and trade bold.If one makes money consistently, both when the market is flat and when it isn't flat, then this might be a better gauge of skill. After all, anyone can make money in a flat market by simply selling out of the money options. Renaissance's returns suggest significant skill.
Last edited by yugmorf2 on July 14th, 2013, 10:00 pm, edited 1 time in total.
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