Who is Julian Robertson
Julian Robertson, known as the “father of hedge funds” and the “Wall Street wizard” is a legendary investor. He is best known for founding Tiger Management in 1980. Robertson closed Tiger in 2000 and has since been active in mentoring young hedge fund managers and philanthropic companies focused on higher education and medical research. .
BREAKDOWN Julian Robertson
Julian Robertson was born in Salisbury, North Carolina in 1933 and graduated from the University of North Carolina in 1955. After two years in the Navy, Robertson joined the New York office of Kidder, Peabody, & Co. in as a retail broker in 1957. He rose through the corporate ladder and eventually took over the management of his asset management division, known as Webster Securities. Robertson left Kidder, Peabody for a year-long sabbatical in New Zealand in 1979.
During his stay in New Zealand, Robertson gave birth to the idea of a new fund. He founded Tiger Management, one of the first hedge funds, upon his return to New York in 1980. Robertson used initial assets estimated at around $ 8 million. Tiger’s assets have reached $ 22 billion over the next two decades. The success of the fund is attributed to Robertson’s ability to identify investment opportunities as part of an overall macro-trading strategy. In the late 1990s, Robertson was also known to have avoided technology investments when building Internet stocks in the late 1990s. This avoidance was a double-edged sword for Tiger Management. The fund performed well in the event of a tech bubble collapse, but suffered from capital flight as investors brought their money to Silicon Valley.
Julian Robertson in the 21st century
Robertson liquidated the Tiger fund in 2000 after a period of poor performance. He wrote that Tiger’s success had been based on a rational approach to valuation and trading and that this strategy had proven less effective alongside the irrational growth of Internet stocks. In the years that followed, Robertson focused his efforts on mentoring a list of emerging hedge fund managers known as the “Tiger Cubs”. Prominent members of this group include John Griffin of Blue Ridge Capital, Ole Andreas Halvorsen of Viking Global and Steve Mandel of Lone Pine Capital.
Robertson has been involved in philanthropic activities since his departure from fund management. He founded scholarships at his alma mater and at Duke University and got involved in The Giving Pledge, a campaign launched by Bill Gates and Warren Buffet. Robertson has also been active in New Zealand, purchasing a handful of luxury lodges nationwide.