Citadel, a major hedge fund, paid 500K for Katy Perry & Maroon 5 to perform at their party in 2016

[basquebromance]

they were celebrating the election of Trump.

its gotten so good that lavish Wall Street parties have ratcheted up.

PS. there were also violinists suspended from the ceiling at this party.

if a billionaire wants to pay an army of violinists a fortune, they shouldnt take the money. good grief, a party where just the entertainment costs as much as it would take to feed a family of four for 50 years.

The next year, Citadel's CEO was buying a new condo spanning 3 floors of high-rise overlooking Central Park, for 200 million dollars. you cant make it up

 

[Toro]

Capitalism is awesome.

 

[hjmick]

Wow...


I sure am glad I don't work for them... Perry and Maroon 5 are overrated...

 

[Correll]

they were celebrating the election of Trump.

its gotten so good that lavish Wall Street parties have ratcheted up.

PS. there were also violinists suspended from the ceiling at this party.

if a billionaire wants to pay an army of violinists a fortune, they shouldnt take the money. good grief, a party where just the entertainment costs as much as it would take to feed a family of four for 50 years.

The next year, Citadel's CEO was buying a new condo spanning 3 floors of high-rise overlooking Central Park, for 200 million dollars. you cant make it up

If I was an investor, I would not like that.


It is not the type of behavior that one would expect from a number cruncher who is using complex portfolio-construction and risk-management techniques.


The band. If the CEO uses his own money to buy a nice house, that's fine.

 

[Mac1958]

Their money.

What was she wearing?

 

[Correll]

Their money.

What was she wearing?

Actually, if it is the Fund's money, it is not their money. They have a professional responsibility to be ethical with it.


IF they truly believe that spending that money on a band is somehow good for the Fund, then that is ok.


Otherwise, they are being irresponsible.


If I heard my mutual funds CEO was blowing money like that, I would have some hard questions.

 

[martybegan]

they were celebrating the election of Trump.

its gotten so good that lavish Wall Street parties have ratcheted up.

PS. there were also violinists suspended from the ceiling at this party.

if a billionaire wants to pay an army of violinists a fortune, they shouldnt take the money. good grief, a party where just the entertainment costs as much as it would take to feed a family of four for 50 years.

The next year, Citadel's CEO was buying a new condo spanning 3 floors of high-rise overlooking Central Park, for 200 million dollars. you cant make it up

2015, not 2016.

and no mention of who actually paid for the party.

Crain's Chicago Business

Plus it's a 25 billion dollar fund, so assuming even a 1% management fee The fund makes $250 MILLION a year...

A 500k party doesn't seem that extravagant when the math is done.

 

[Mac1958]

Their money.

What was she wearing?

Actually, if it is the Fund's money, it is not their money. They have a professional responsibility to be ethical with it.


IF they truly believe that spending that money on a band is somehow good for the Fund, then that is ok.


Otherwise, they are being irresponsible.


If I heard my mutual funds CEO was blowing money like that, I would have some hard questions.

Presumably the money is coming from profits.

How they spend their profits is up to them.
.

 

[Correll]

Their money.

What was she wearing?

Actually, if it is the Fund's money, it is not their money. They have a professional responsibility to be ethical with it.


IF they truly believe that spending that money on a band is somehow good for the Fund, then that is ok.


Otherwise, they are being irresponsible.


If I heard my mutual funds CEO was blowing money like that, I would have some hard questions.

Presumably the money is coming from profits.

How they spend their profits is up to them.
.

No, it's not. The profits belong to the investors.

 

[basquebromance]

i've yet to meet one straight male who likes Maroon 5

 

[Toddsterpatriot]

they were celebrating the election of Trump.

its gotten so good that lavish Wall Street parties have ratcheted up.

PS. there were also violinists suspended from the ceiling at this party.

if a billionaire wants to pay an army of violinists a fortune, they shouldnt take the money. good grief, a party where just the entertainment costs as much as it would take to feed a family of four for 50 years.

The next year, Citadel's CEO was buying a new condo spanning 3 floors of high-rise overlooking Central Park, for 200 million dollars. you cant make it up

If I was an investor, I would not like that.


It is not the type of behavior that one would expect from a number cruncher who is using complex portfolio-construction and risk-management techniques.


The band. If the CEO uses his own money to buy a nice house, that's fine.

If I was an investor, I would not like that.

They weren't spending their investor's money.

 

[Toddsterpatriot]

Capitalism is awesome.

So is Citadel.

 

[Mac1958]

Their money.

What was she wearing?

Actually, if it is the Fund's money, it is not their money. They have a professional responsibility to be ethical with it.


IF they truly believe that spending that money on a band is somehow good for the Fund, then that is ok.


Otherwise, they are being irresponsible.


If I heard my mutual funds CEO was blowing money like that, I would have some hard questions.

Presumably the money is coming from profits.

How they spend their profits is up to them.
.

No, it's not. The profits belong to the investors.

No, profits from their trading activities are reflected in gross investor return. The hedge fund makes its money on fees.

Hedge funds charge very high fees to their investors. The industry standard for hedge funds is "2 & 20" - 2% of assets and 20% of profits. That's how they work.

Their fees are their revenue, aside from house trading. That's their money to do with as they please.
.

 

[Toddsterpatriot]

Their money.

What was she wearing?

Actually, if it is the Fund's money, it is not their money. They have a professional responsibility to be ethical with it.


IF they truly believe that spending that money on a band is somehow good for the Fund, then that is ok.


Otherwise, they are being irresponsible.


If I heard my mutual funds CEO was blowing money like that, I would have some hard questions.

Presumably the money is coming from profits.

How they spend their profits is up to them.
.

No, it's not. The profits belong to the investors.

Tough Times for Citadel's Ken Griffin: Only $600 Million in Profits Last Year
By Nathan Reiff | May 18, 2017 — 9:30 AM EDT


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To just about any person on the planet, earning $600 million in one year would be an inconceivable success. For Ken Griffin, the billionaire head of hedge fund Citadel, though, a figure like that may be cause for some concern. By the standards of Citadel, one of the most successful hedge funds in the world, profits at that level mark a substantial decline from successes in the past. While the figure still represents an astonishing gain, even in the flashy world of hedge funds, it also has some analysts speculating that the widespread problems facing the industry as a whole may have finally arrived at Griffin's door.

Earnings Over $1 Billion For 2014 and 2015
According to reporting by the Chicago Tribune, Griffin has seen earnings for his fund well over $1 billion for each of the past two years. This data was drawn from Institutional Investor's Alpha, which has ranked all U.S. billionaires according to wealth and earnings for the past 16 years. For 2014 and 2015, Griffin topped the list of billionaires nationwide in terms of his earnings. Now, however, the richest resident of Illinois has tumbled to sixth place on the last, thanks in large part to his worst earnings year since 2008 when the financial crisis struck.



Read more: Tough Times for Citadel's Ken Griffin: Only $600 Million in Profits Last Year | Investopedia Tough Times for Citadel's Ken Griffin: Only $600 Million in Profits Last Year
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Citadel, the $26 billion Chicago firm led by billionaire Kenneth Griffin, charged pass-through fees that added up to about 5.3 percent in 2015 and 6.3 percent in 2014, according to another person familiar with the situation. Charges for 2016 were not finalized, but the costs typically add up to between 5 and 10 percent of assets, separate from the 20 percent performance fee Citadel typically charges.

Struggling hedge funds still expense bonuses, bar tabs

 

[basquebromance]

it seems that the divine right of kings has translated into the divine rights of CEOs!

 

[Correll]

Their money.

What was she wearing?

Actually, if it is the Fund's money, it is not their money. They have a professional responsibility to be ethical with it.


IF they truly believe that spending that money on a band is somehow good for the Fund, then that is ok.


Otherwise, they are being irresponsible.


If I heard my mutual funds CEO was blowing money like that, I would have some hard questions.

Presumably the money is coming from profits.

How they spend their profits is up to them.
.

No, it's not. The profits belong to the investors.

No, profits from their trading activities are reflected in gross investor return. The hedge fund makes its money on fees.

Hedge funds charge very high fees to their investors. The industry standard for hedge funds is "2 & 20" - 2% of assets and 20% of profits. That's how they work.

Their fees are their revenue, aside from house trading. That's their money to do with as they please.
.

That is fine then.

 

[basquebromance]

corporate CEOs display a boldness that would have put a medieval royal prince to shame!

 

[Toddsterpatriot]

corporate CEOs display a boldness that would have put a medieval royal prince to shame!

Spending their own money, not spending the people's money.

Not comparable.

 

[basquebromance]

corporate CEOs display a boldness that would have put a medieval royal prince to shame!

Spending their own money, not spending the people's money.

Not comparable.

what the hell is wrong with you? you're supposed to be on the side of the people!

 

[Toddsterpatriot]

corporate CEOs display a boldness that would have put a medieval royal prince to shame!

Spending their own money, not spending the people's money.

Not comparable.

what the hell is wrong with you? you're supposed to be on the side of the people!

I am on the side of the people, against the whiners.