One of my side projects has come to fruition.
Just over a year ago, I contacted a group of successful trading bloggers in equities, commodities, and fixed income, with the idea of setting up a hedge fund comprising of diversified trading styles across the major markets. We spent several months preparing an audited record of our trading performance and I eventually whittled the numbers of traders down to ten, including myself (currencies). Using my City contacts I managed to get legal assistance on setting up the fund, in exchange for a small equity stake, and I also used my access to generate a little interest in the idea. After endless meetings and pitches, we have now secured our first major investment of $5m from a medium-sized European investment bank. The charges are just 1 and 10, not the usual 2 and 20, and the fund will be allocated between the ten traders using a weighting-equation based on the past three months performance of each trader, with reallocations taking place at the end of each month. The fund’s performance can be tracked here.