Hacker News

points by louiereederson 3 days ago | 0 comments

Do you have sources to share on this besides Reddit?

[–] paulpauper 2 days ago

it's just panic selling, with Ai as the ad hoc justification.

[–] chollida1 2 days ago

> Do you have sources to share on this besides Reddit?

Sources for what specifically?

If you meant for pods and funds blowing up:

https://x.com/SpecialSitsNews/status/2118415084280242230

Gives a decent list. Though most of the ones i know of are from contacts on the sell side who are assisting with wind downs.

And I don't think i mentioned reddit, you might be replying to the wrong thread?

[–] LightBug1 2 days ago

Sorry, I don't read twitter. Do you have another link?

[–] paulpauper 2 days ago

there are like a zillion of these pod shops and tiny firms. doesn't mean much. wake me up when a big fund fails

[–] actualeff0rt 2 days ago

I work in quant trading - I can guarantee you at least 4/7 of the firms on that list are well-known, well-respected, and would count as "big funds". Can't comment on the actual pods that apparently went bust though, but generally you should expect the average pod at these places to be at least reasonably good considering the sink-or-swim environment they are perpetually in.

[–] empath75 2 days ago

Pods can go broke on a 4% _rise_ in the stock market. They make levered bets and it's easy to get way on the wrong side of one.

[–] chollida1 2 days ago

Those are Billion dollar funds, those are large fish:)

Troluce and Axebrook had more than $1.5B pulled from them by Millennium.

Walleye is a $17B AUM fund.

> there are like a zillion of these pod shops and tiny firms. doesn't mean much. wake me up when a big fund fails

I get that not everyone knows the industry but consider this your wakeup call:)

[–] mamonster 2 days ago

The names are well known, the most surprising one for me is Axebrook. ITD from 2020 the Credit Alpha fund is like 1.3 Sharpe.

This and Arini in the same year is pretty bad for credit managers.

[–] paulpauper 2 days ago

I mean if you have 1000+ firms, statistically , some will fail no matter what? Like, selling to many calls in a rally, or too many puts in a correction etc.

[–] chollida1 2 days ago

I agree with the first part of your sentence but to be fair you said to wake you up when a big firm failed and i was only pointing out that, several big firms have failed as I pointed out:)

I fully understand that very few people on hackernews actually are in the capital markets and i happen to be one so I'll always have a far better understanding than outsiders like your self.

I'm just trying to provide some colour to people regarding what's happening today and why fund closures are magnifying this.