Hedge Funds Adding Eye-Popping Perks to Talent Wars

The video discusses the high demand for portfolio managers in hedge funds, driven by a lack of supply and the growth of multi-strategy platforms. Post-2008 financial crisis, the closure of prop desks has constrained talent supply. Hedge funds are hiring to manage more capital, with investors covering costs despite receiving a smaller share of profits. However, investors are satisfied due to high returns and low volatility compared to the S&P 500.

What is one of the main reasons for the high demand for portfolio managers in hedge funds?

• Decrease in investor interest

• Decline in hedge fund performance

• Lack of available talent

• Increased competition among hedge funds

What event led to the closure of prop desks, affecting the supply of trained traders?

• The 1997 Asian financial crisis

• The 2008 financial crisis

• The dot-com bubble burst

• The 2020 pandemic

How have multi-strategy platforms contributed to the demand for talent?

• By limiting the growth of hedge funds

• By closing new investment opportunities

• By adding billions to their assets

• By reducing the need for risk-takers

What percentage of trading profits are investors reportedly receiving?

• 45%

• 60%

• 30%

• 75%

Why are investors willing to pay high fees to hedge funds?

• To support new hedge fund managers

• For the stability and high returns

• Due to high volatility

• Because of low returns