The Hedge Fund Book – A Training Manual for Proffesionals and Capital–Raising Executives

Preface xi
<p>My Story xii</p>
<p>Disclosure of Financial Interests xiii</p>
<p>Acknowledgments xv</p>
<p>Introduction 1</p>
<p>CHAPTER 1: Hedge Fund Fundamentals 5</p>
<p>Hedge Fund Mechanics and Statistics 6</p>
<p>History of Hedge Funds 8</p>
<p>Media Portrayal of Hedge Funds 9</p>
<p>Hedge Fund Ecosystem 10</p>
<p>Future of the Hedge Fund Industry 13</p>
<p>Chapter Summary 13</p>
<p>Review Questions 14</p>
<p>CHAPTER 2: Institutionalization and Operations 17</p>
<p>Stephen Abrahams, Vice President of Marketing for a London–Based Hedge Fund 18</p>
<p>Bob Pardo, CEO and President, Pardo Capital Limited 19</p>
<p>Vinod Paul, Managing Director of Service and Business Development, Eze Castle Integration 21</p>
<p>Nakul Nayyar, Quantitative Trading/Support, Quad Capital 24</p>
<p>Hendrik Klein, CEO, Da Vinci Invest Ltd. 26</p>
<p>Sheri Kanesaka, Associate, Michelman &amp; Robinson, LLP 29</p>
<p>Eric Warshal, CEO, Fund Associates 30</p>
<p>Lance Baraker and William Katts, Senior Managing Directors, TradeStation Prime 32</p>
<p>Chapter Summary 36</p>
<p>Review Questions 36</p>
<p>CHAPTER 3: Hedge Fund Marketing Pro 39</p>
<p>Bad News 40</p>
<p>Public Relations Management 41</p>
<p>Educational Marketing 42</p>
<p>Forget about Contacting More Investors 43</p>
<p>E–Mail Marketing Best Practices 45</p>
<p>Copy Writing 49</p>
<p>Case Profile 50</p>
<p>Stephen Abrahams, Vice President of Marketing for a London–Based Hedge Fund 54</p>
<p>Pratik Sharma, Managing Director, Atyant Capital 55</p>
<p>Hendrik Klein, CEO, Da Vinci Invest Ltd. 59</p>
<p>Chapter Summary 60</p>
<p>Review Questions 61</p>
<p>CHAPTER 4: The Shooting Star 63</p>
<p>18 Lessons from Shooting Star Hedge Funds 63</p>
<p>Rick Nummi, Partner and General Counsel, Accounting and Compliance International (ACI) 65</p>
<p>Thomas Powell, Chief Executive Officer, ELP Capital 72</p>
<p>Chapter Summary 74</p>
<p>Review Questions 74</p>
<p>CHAPTER 5: Hedge Fund Start–Up Guru 77</p>
<p>Top Five Tips for Starting a Hedge Fund 78</p>
<p>Hedge Fund Pitch Book Creation 80</p>
<p>Syed Ali, CEO, Saturn Partners, LLC 81</p>
<p>Nakul Nayyar, Quantitative Trading/Support, Quad Capital 86</p>
<p>Chapter Summary 89</p>
<p>Review Questions 90</p>
<p>CHAPTER 6: Dedicated to Due Diligence 93</p>
<p>Scott Freund, President, GCC Family Wealth Management 94</p>
<p>Brian Reich, President and Founder, Atrato Advisors LLC 95</p>
<p>Richard Wilson, Hedge Fund Group, CHP Designation, HedgeFundBlogger.com 98</p>
<p>Due Diligence Effects on Hedge Funds 102</p>
<p>Chapter Summary 105</p>
<p>Review Questions 106</p>
<p>CHAPTER 7: Giant Hedge Funds 109</p>
<p>Best Practices from $1 Billion–Plus Hedge Funds 109</p>
<p>Richard Zahm, Portfolio Manager, Second Angel Fund 111</p>
<p>Scott Cohen, President and CEO, Hedge Solutions 117</p>
<p>Chapter Summary 119</p>
<p>Review Questions 120</p>
<p>CHAPTER 8: Governance Best Practices 123</p>
<p>Andrew Main, Managing Partner, Stratton Street Capital LLP 124</p>
<p>David R. Koenig, CEO of the Governance Fund, LLC 130</p>
<p>Chapter Summary 134</p>
<p>Review Questions 134</p>
<p>CHAPTER 9: Frequently Asked Hedge Fund Questions 137</p>
<p>Hedge Funds 101 137</p>
<p>Hedge Fund Operations 139</p>
<p>Hedge Fund Marketing and Sales 142</p>
<p>Hedge Fund Careers 156</p>
<p>APPENDIX A: Bonuses of $1,779 169</p>
<p>APPENDIX B: Example Due Diligence Questions 171</p>
<p>Questionnaire 171</p>
<p>APPENDIX C: Top Hedge Fund Web Sites 177</p>
<p>Glossary 179</p>
<p>About the Author 185</p>
<p>Index 187</p>
<p>Contact the Author 191</p>