Millennium Management, LLC

Last updated
Millennium Management, LLC
Company type Private
Industry Hedge fund
Founded1989;35 years ago (1989) [1]
Founders
Headquarters
New York [4]
,
U.S.
Key people
  • • Ajay Nagpal (2013 July: COO) [5]
  • • Simon Lorne (Vice chairman and chief legal officer) [6]
  • • John Novogratz (2009 Dec: Head of capital development and investor relations) [7]
Products Hedge fund
AUM US$ 70.2 billion
(as of October 2024) [8]
Number of employees
5,900+ (2024) [8]
Subsidiaries WorldQuant

Millennium Management is an investment management firm with a multistrategy hedge fund offering. [9] It is one of the world's largest alternative asset management firms with over $70.2 billion assets under management as of October 2024. [10] [11] The firm operates in America, Europe and Asia. [12] As of 2022, Millennium had posted the fourth highest net gains of any hedge fund since its inception in 1989. [13]

Contents

History

Israel A. Englander and Ronald Shear, an acquaintance from the American Stock Exchange (AMEX), founded the firm in 1989 with $35 million. [3] The initial $35 million consisted of $5 million from Englander and "$2 million from the Belzberg brothers, wealthy Canadian financiers." [3] Millennium Management initially underperformed and co-founder Ronald Shear left the firm six months after founding it. [3]

In 2016, Millennium hired Bobby Jain, then global head of Credit Suisse Asset Management, to join Israel Englander as co-CIO. [2] Jain left Millennium in June 2023. [14]

In the spring of 2018, Millennium launched a joint venture with WorldQuant, a quantitative investment management firm. [15]

In 2019, London-based investment firm LCH Investment ranked Millennium Management 12th on their ranking of most successful hedge funds of all time reporting that since its founding in 1989 the firm had made $22.4 billion for its investors, [3] an average of 14% annually since inception. [16] In 2019, the company raised $4.1 billion after a two-year hiatus from raising new capital. The company expects to have raised $7.1 billion by March 2020 and manages a total of nearly $50 billion in capital. The company ended the year 2020 with 265 portfolio manager teams, the most in its history. [17] As of February 2020, Millennium managed over 2,000 data sets from close to 400 providers, for a total of about 10 trillion records of data and over 2,000 terabytes of compressed stored data. [18]

In April 2024, Jane Street Capital brought forward a lawsuit against Millennium, alleging that the firm stole Jane Street's trading strategy through engaging two of its former traders, Douglas Schadewald and Daniel Spottiswood. [19]

Company

Investment team structure

The company has a platform model of investing [4] made up of approximately 280 investment teams [20] with each portfolio manager allocated money "to deploy in a variety of trading strategies." [21]

Locations

The company has 18 primary offices including regional offices in London, Dubai, Singapore, Miami, Bengaluru, Tel Aviv, Tokyo, Dublin, Greenwich, Geneva, Zug and Paris, with its principal office in New York, in addition to operating additional offices in locations around the world. [22]

Related Research Articles

A hedge fund is a pooled investment fund that holds liquid assets and that makes use of complex trading and risk management techniques to improve investment performance and insulate returns from market risk. Among these portfolio techniques are short selling and the use of leverage and derivative instruments. In the United States, financial regulations require that hedge funds be marketed only to institutional investors and high-net-worth individuals.

<span class="mw-page-title-main">D. E. Shaw & Co.</span> U.S.-based investment management firm

D. E. Shaw & Co., L.P. is a multinational investment management firm founded in 1988 by David E. Shaw and based in New York City. The company is known for developing complicated mathematical models and computer programs to exploit anomalies in financial markets. As of December 1, 2023, D. E. Shaw has $60 billion in assets under management, including alternative investments and long strategies.

<span class="mw-page-title-main">Soros Fund Management</span> Private investment firm

Soros Fund Management, LLC is a privately held American investment management firm. It is structured as a family office, but formerly as a hedge fund. The firm was founded in 1970 by George Soros and, in 2010, was reported to be one of the most profitable firms in the hedge fund industry, averaging a 20% annual rate of return over four decades. It is headquartered at 250 West 55th Street in New York City. As of 2023, Soros Fund Management, LLC had US$25 billion in AUM.

<span class="mw-page-title-main">Bridgewater Associates</span> U.S. based investment management firm

Bridgewater Associates, LP is an American investment management firm founded by Ray Dalio in 1975. The firm serves institutional clients including pension funds, endowments, foundations, foreign governments, and central banks. As at December 2023, Bridgewater ranks as the fourth most profitable hedge fund manager in history by absolute dollar returns. The firm began as an institutional investment advisory service, graduated to institutional investing, and pioneered the risk parity investment approach in 1996.

<span class="mw-page-title-main">Citadel LLC</span> American hedge fund and financial services provider

Citadel LLC is an American multinational hedge fund and financial services company. Founded in 1990 by Ken Griffin, it has more than $63 billion in assets under management as of June 2024. The company has over 2,800 employees, with corporate headquarters in Miami, Florida, and offices throughout North America, Asia, and Europe. Founder, CEO and Co-CIO Griffin owns approximately 85% of the firm. As of December 2022, Citadel is one of the most profitable hedge funds in the world, posting $74 billion in net gains since its inception in 1990, making it the most successful hedge fund in history, according to CNBC.

<span class="mw-page-title-main">Marshall Wace</span> UK hedge fund company

Marshall Wace LLP is a British hedge fund headquartered in London, England, founded by Paul Marshall and Ian Wace in 1997. Marshall serves as chairman and chief investment officer, and Wace as a chief executive officer & chief risk officer. The company is recognised as one of the world's largest hedge fund managers.

Fortress Investment Group, LLC is an American investment management firm based in New York City. It was founded as a private equity firm in 1998 by Wes Edens, Rob Kauffman, and Randal Nardone.

<span class="mw-page-title-main">Sculptor Capital Management</span> American investment management firm

Sculptor Capital Management is an American global diversified alternative asset management firm. They are one of the largest institutional alternative asset managers in the world.

Highland Capital Management is an alternative investment management firm that manages hedge funds, structured investment vehicles and mutual funds. The firm invests in global public equities, as well as fixed income markets with a focus on leveraged loans, high yield bonds, and structured products.

A quantitative fund is an investment fund that uses quantitative investment management instead of fundamental human analysis.

Brevan Howard is a European hedge fund management company based in Jersey with its funds domiciled in the Cayman Islands. Brevan Howard was founded in 2002 by Alan Howard, alongside four other co-founders including Chris Rokos, and is widely considered to be one of the top global macro hedge funds.

Moore Capital Management, LP (MCM) is a global investment management firm headquartered in New York, New York. In September 2018, MCM had $10.2 billion in total assets under management.

<span class="mw-page-title-main">AQR Capital</span> Global investment management firm

AQR Capital Management is a global investment management firm based in Greenwich, Connecticut, United States. The firm, which was founded in 1998 by Cliff Asness, David Kabiller, John Liew, and Robert Krail, offers a variety of quantitatively driven alternative and traditional investment vehicles to both institutional clients and financial advisors. The firm is primarily owned by its founders and principals. AQR has additional offices in Boston, Chicago, Los Angeles, Bangalore, Hong Kong, London, Sydney, and Tokyo.

<span class="mw-page-title-main">Highbridge Capital Management</span> Alternative investment management firm

Highbridge Capital Management, LLC is a multi-strategy alternative investment management firm founded by Glenn Dubin and Henry Swieca in 1992. In 2004, it was purchased by JPMorgan Chase; as of 2019, it had about $3.9 billion in assets under management, out of $150 billion in JPMorgan's global alternatives division.

Israel Alexander Englander is an American billionaire hedge fund manager. In 1989, he founded his hedge fund, Millennium Management, with Ronald Shear. The fund was started with US$35 million, and as of October 2024 had US$70.2 billion in assets under management.

<span class="mw-page-title-main">S.A.C. Capital Advisors</span> Group of hedge funds

SAC Capital Advisors was a group of hedge funds founded by Steven A. Cohen in 1992. The firm employed approximately 800 people in 2010 across its offices located in Stamford, Connecticut and New York City, and various offices. It reportedly lost many of its traders in the wake of various investigations by the Securities and Exchange Commission (SEC). In 2010, the SEC opened an insider trading investigation of SAC and in 2013 several former employees were indicted by the U.S. Department of Justice. In November 2013, the firm itself pleaded guilty to insider trading charges and paid $1.2 billion in penalties. The firm shrank after returning the vast majority of its outside investor capital. Point72 Asset Management was established as a separate family office in 2014. SAC ceased to exist as a separate entity in 2016. Point 72, essentially the continuation of SAC, manages 30 Billion as of 2023.

<span class="mw-page-title-main">WorldQuant</span> American international hedge fund and quantitative investment management firm

WorldQuant, LLC is an international hedge fund and quantitative investment management firm headquartered in Old Greenwich, Connecticut. Founded in 2007, the firm is currently managing approximately $9 billion in assets under management for Millennium Management via quantitative trading and other methods of quantitative investing. WorldQuant operated the WorldQuant Challenge, where participants compete in the field of quantitative finance, and WorldQuant Accelerator, an independent portfolio manager platform. In 2015 the WorldQuant Foundation launched WorldQuant University.

Mudrick Capital Management is an American investment firm and vulture fund specializing in special situations and event driven investing that include investing in distressed securities. The firm was founded by Jason Mudrick, its current Chief Investment Officer, in 2009. The firm is located in New York City and, as of June 2022, managed approximately $3.3 billion in assets.

ExodusPoint Capital Management (ExodusPoint) is an American investment management firm headquartered in New York City with additional offices in Europe and Asia. It currently holds the largest launch in history for hedge funds where it raised $8.5 billion in 2018 after it started accepting capital from external investors.

<span class="mw-page-title-main">Jain Global</span> Hedge fund based in New York City

Jain Global is an American investment management firm headquartered in New York City with additional offices in Europe and Asia–Pacific.

References

  1. ↑ Ahmed, Azam (25 July 2011). "Englander Said to Be Looking to Sell Millennium Stake" . New York Times. No. DealBook. United States. The New York Times Company. Retrieved 3 May 2019.
  2. 1 2 Wigglesworth, Robin (28 March 2016). "Millennium taps Credit Suisse's Jain as co-CIO". United States: Financial Times. Nikkei. p. 11. Retrieved 7 May 2019.
  3. 1 2 3 4 5 Taub, Stephen (2 April 2019). "Izzy Englander's Big Payday". No. Corner Office. United States: Institutional Investor. Institutional Investor LLC. Retrieved 3 May 2019.
  4. 1 2 Ahmed, Azam (8 September 2011). "Millennium Attracts $4 Billion in New Money". New York Times. No. DealBook. United States. The New York Times Company. Retrieved 3 May 2019.
  5. ↑ McCrum, Dan (2 April 2013). "Barclays prime broker moves to hedge fund" . New York, N.Y., United States: Financial Times. Nikkei. Retrieved 16 December 2019.
  6. ↑ Delevingne, Lawrence; Crimmins, Carmel (25 April 2017). "Q&A: Hedge fund executive Simon Lorne talks Trump, Brexit and 'Billions'". No. Wealth. New York, N.Y., United States: Reuters. Thomson Reuters. Retrieved 16 December 2019.
  7. ↑ "China's Property Bubble, Millennium Management's John Novogratz, Baupost". No. AR + Alpha. United States: Business Insider. Business Insider Inc. 1 May 2011. Retrieved 8 January 2020.
  8. 1 2 "Millennium Management Global Investment". Millennium Management, LLC. 31 October 2024. Retrieved 31 October 2024.
  9. ↑ Taub, Stephen (30 April 2019). "The Rich List – What the world's richest hedge fund managers made in 2018 — and how they made it". No. Rich List. United States: Institutional Investor. Institutional Investor LLC. Retrieved 3 May 2019.
  10. ↑ Agnew, Harriet (20 November 2023). "Asset Management: Millennium's succession dilemma". www.ft.com. Retrieved 27 November 2023.
  11. ↑ "Millennium Management Global Investment". MLP. Retrieved 2024-06-18.
  12. ↑ Hu, Bei (29 October 2019). "Hedge Funds Fight for Asia Talent With Bonuses, Training" . No. Business. BloombergQuint. Bloomberg L.P. Retrieved 11 December 2019.
  13. ↑ Tucker, Hank. "Citadel's $16 Billion Gain In 2022 Makes Ken Griffin's Flagship The Top-Earning Hedge Fund Ever". Forbes. Retrieved 2023-08-24.
  14. ↑ Morrell, Alex (1 July 2023). "Bobby Jain's hotly anticipated hedge fund just made its first hire". Business Insider.
  15. ↑ Wigglesworth, Robin (24 April 2018). "WorldQuant to launch its first fund open to outside investors" . No. Hedge Funds. Financial Times. Nikkei. Retrieved 11 December 2019.
  16. ↑ Chung, Juliet (30 October 2018). "Stalwart Hedge Funds Test Their Clout With Clients" . The Wall Street Journal. Eastern Edition. No. Markets. Wall Street Journal. Dow Jones & Company Inc. ISSN   0099-9660 . Retrieved 11 December 2019.
  17. ↑ "How to get a job at hedge fund Millennium". eFinancialCareers. 2021-02-12. Retrieved 2021-03-07.
  18. ↑ "Millennium Raises $3 Billion With Clients Accepting Strict Terms". Bloomberg.com. 2020-02-14. Retrieved 2020-03-18.
  19. ↑ "Big hedge fund firm Millennium sued by Jane Street for allegedly stealing strategy". Reuters.
  20. ↑ Herbst-Bayliss, Svea (12 October 2018). "Englander's Millennium hires portfolio manager from Citadel- sources". No. Fund News. Boston, MA, United States: Reuters. Thomson Reuters. Retrieved 8 January 2020.
  21. ↑ Raghavan, Anita (10 March 2015). "Hedge Funds Recorded Strong Recovery in 2014". New York Times. No. DealBook. United States. The New York Times Company. Retrieved 3 May 2019.
  22. ↑ "Millennium Management | Millennium's Global Presence and Locations". MLP. Retrieved 2024-06-18.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.