Superstar investors - how do they do it? AQR tries to take a stab at that question.
The measure of a top fund manager is not profitability on a short-term basis, but rather how their “edge,” the approach to markets that provides alpha, generates consistent performance over the long haul. In its fourth quarter “Alternative Thinking” report, AQR, a leading quantitative investment shop, takes a systematic look at four superstar investors. The report breaks down the performance of Warren Buffett’s Berkshire Hathaway, Bill Gross’s PIMCO, George Soros’s Quantum Fund and Peter Lynch’s Magellan fund to identify what makes them unique. The results are rather unique.
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