A crowdsourcing hedge fund backed by billionaire Paul Tudor Jones has raised fresh capital from university endowments and venture firms at a valuation of $500 million, after its unconventional stock-picking model outperformed peers.
“Investors are interested in liquidity which privates can’t provide and being uncorrelated to a market that’s never been more expensive than in the history of my career,” said founder Richard Craib in an interview. “We can grow a lot and our platform is very scalable.”
With $550 million in assets under management, the firm buys and sells stocks based on trading ideas sourced from freelance finance quants. Its main fund has returned an estimated 8% this year, compared with roughly 3% for the PivotalPath Equity Quant Index through October.