These are 8 people doing innovative things in the hedge fund game - Business Insider

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Meet the 8 people with new ideas about data, fees, and tech who are shaking up the $3.2 trillion hedge fund game

JPMorgan's Jamie Kramer has pushed the hedge fund managers she works with to incorporate ESG standards for their own businesses.simply click here to claim your deal and get access to all exclusive Business Insider PRIME content.

They work at places like JPMorgan, APG Asset Management, and Acadian Asset Management, among others. Some have been at their mission for years while others are just starting out, but all of them are doing something that turns conventional thinking in the hedge fund space on its head. JIm Carney's hedge fund only collects performance fees if it outperforms the market.

Management fees, Carney says, encourage funds to go out and raise a lot of money instead of focusing on actually managing it. Parplus currently runs one fund, which trades options on the stock market's volatility, but is planning to roll out a fixed-income fund as well, which will have similar performance hurdles. Atom Investors CEO is bringing his data expertise to the hedge fund spaceFinancial Risk Management and CargoMetrics Technologies have had success transforming into hedge funds.

Qunibi instead made his way into the industry from the investor side, working for a fund-of-funds that used to be a part of BNY Mellon, which was where he started developing the basis for Atom. Austin, Texas-based Atom now uses analytics from Novus to evaluate portfolios and make allocations to hedge funds, and is running more than $1 billion after launching last year. $200 million to short-selling start-up fund Orso Partners this summer. JPMorgan's Jamie Kramer has pushed the hedge fund managers she works with to incorporate ESG standards for their own businesses.Hedge funds have been looking more at ESG ratings when evaluating investments.

Now, with the help of Kramer and her team, roughly half of the managers do, and JPMorgan hopes that will hit 75% in the next year. In contrast, women and minority-owned hedge funds control less than 1% of industry AUM and represent only 13.5% of firms, according to the Knight Foundation.APG's Michael Weinberg has been one of the industry's biggest backers of machine-learning.In the hedge fund world, artificial intelligence and machine-learning are talked about more than they are actually used.

"Smaller and emerging managers are often quite transparent with non-disclosure or confidentiality agreements because they have to be if they are to attract investors, raise assets and grow their funds and businesses," he said. "For the types of funds we worked at, the filings were really a fantastic look into a portfolio," Gardner said.Lone Pine Capital stock-pickers explain why they're investing in Tiffany and Nintendo and how they value 'disruptors' like Beyond Meat

 

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