Marco,
Based on my understanding, Medallion and Renaissance Technologies outside funds are run based on different strategies. “Medallion has short-term holding periods, RIEF and the other funds search for longer-term aberrations and own smaller stocks and other investments — things Medallion shies away from.”
According to fund documents, the Medallion fund employs a short-term, quantitative trading strategy across multiple asset classes. These include global equities, futures, commodities, and currencies. It also tends to have high turnover and significant leverage. The Renaissance Institutional Equities Fund, by comparison, only trades in equities, and holds stocks for long periods of time, according to fund’s registration document.
The Renaissance Institutional Diversified Alpha fund, meanwhile, trades equities, derivatives, and various instruments in the global futures and forwards markets, according to fund documents. Like REIF, the RIDA fund holds significant individual positions, usually for long periods of time.
The Renaissance Institutional Diversified Global Equities Funds, which trades equities and derivatives. The RIDGE fund seeks to be market neutral by maintaining low levels of beta, or exposure to the broader market.
Interesting enough, Numerai is just starting a new market neutral hedge fund based on their meta models from “designer models” submitted by their users. Here is the link.
I hope P123 can achieve a similar level of success with new “designer models” from users based on the upcoming new AI rollout.
Regards
James