WorldQuant's New Fund Said to Lose 9.5% as Chaos Smashes Algos
- The fund started trading in May and managed about $2.6 bln
- Fund is a joint venture of WorldQuant and Millennium
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WorldQuant’s first fund for outside investors lagged behind its target index in October and has underperformed the benchmark since it started, according to people who have been briefed on the returns.
The $2.6 billion quant stock fund, a joint venture between Igor Tulchinsky’s WorldQuant and Izzy Englander’s Millennium Management, is designed to significantly outperform the MSCI World Index, said the people, asking not to be identified because the returns haven’t been publicly disclosed. The fund, which started in May, dropped 9.5 percent in October, compared with a 7.3 percent decline in the index.