Inside Balyasny's training program for hedge fund portfolio managers - Business Insider

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Inside $8.3 billion Balyasny's Anthem training program, where aspiring portfolio managers are handed hundreds of millions of dollars to prove they can cut it

Bill Wappler, the director of research at Balyasny Asset Management, leads the firm's training program, called Anthem, which turns senior analysts into PM's.Balyasny Asset Management runs a 12- to 24-month training program, called Anthem, designed to transform senior analysts into portfolio managers.

Run by Bill Wappler, the program — named after an Ayn Rand book — can run for anywhere from 12 months to two years. Only a select few participants have made the cut so far. Current PMs-in-training are based in locations around the world, from Hong Kong to London to the US. Wappler walked Business Insider through how candidates are selected, how the firm eases them into running their own money, and what determines who ultimately makes the cut. The biggest thing to teach a senior analyst is not how to invest, but how to trust.

"If every time your analyst gives you an analysis or a model or some work product, if you assume you have to recheck every fact or recheck every number, is number 1, you're not going to get any leverage so you're defeating the purpose of having an analyst. And number 2, the analyst is going to sit back and say, 'Wow, this guy is not really fun to work for,'" he said.

All in all, 37 people have been hired into Anthem, but just 10 have graduated so far in the course of the four years that it's been operational.

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