<p>Which major is better for finance, or will both be fine? Hopefully I would want to start my own HF, even if I earn considerably less for quite a while in the start. But first I want to work at a fund, to get an idea of what its about, then go to B- School. So while I still have the chance now, which major is better? Or are both ok?</p>
<p>Also, what would be a good minor? I was thinking a double minor in CS and psychology.</p>
<p>i would recommend majoring in math. if not, i like finance over economics. minors usually do not play a big role, but CS would not be a bad idea. drop psychology unless you really like it.</p>
<p>focus on getting good grades and then landing a good job.</p>
<p>6 years of work experience in analysis with a strength in a particular sector at an investment bank or working at a prop shop, outstanding recommendations or a few connections and a good personality would be the best major.
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Hopefully I would want to start my own HF
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Hahahahahaha. Ahh man, woo. That's the first thing that's ever made me really laugh on this forum. You better have a big trust fund.</p>
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Hahahahahaha. Ahh man, woo. That's the first thing that's ever made me really laugh on this forum. You better have a big trust fund.
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<p>LOL. It is super funny. Did you hear about that 13 year old who started his own hedge fund?</p>
<p>Everyone starts with nothing. The same could have been said to Cohen or Lampert, etc.</p>
<p>Or every entrepreneur for that matter.</p>
<p>Be like Tim Sykes, that guy is a genius</p>
<p>Starting a HF is usually reserved for those who rise through the ranks at a BB and build a strong network. They then break off with a few other individuals and use their network in order to raise capital to start their fund. These types of ventures can be very dangerous to invest in because these individuals who run them might not know too much about what they are doing. Even if they do, many HFs collapse nonetheless.</p>
<p>Hear about the kid who started a hedge fund?
His dad gave him a few dollars and he bought a small tree...
<em>shoots self</em>
Oh yeah BTW good luck with that, I'm sure you'll figure it out.</p>
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Everyone starts with nothing. The same could have been said to Cohen or Lampert, etc.
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Except for the fact that you have to have a fairly large amount of capital to get off the ground and your investors have to be accredited. Good luck getting people with a minimum 1m/net worth or 200k/year salary to invest in a hedge fund with little to no startup capital started by someone with little to no experience in the financial industry.</p>
<p>You guys need to chill. The OP didn't make this post in hopes for you guys to bash him. He was hoping for advice. I'm gonna laugh when one day he does start in HF's and you guys doubted him.</p>
<p>hrmm i wouldnt mind managing a hedge fund either, but in order to get there, this would be my route... (im a senior in HS)</p>
<p>1.) Get into a top 25 finance college, double major in finance/math. (this is the best combo IMO, though Ivies who major in diff. fields sometimes end up in the same route)
2.) amazing grades in college, 700+GMAT, 3 years+ intern at GS, MER, MS, JPM, LAZ, LEH ect.
3.) Obtain a job at a BB in the asset management department either as a quant or work in altenative investments under AM
4.) While working for a BB, go for your MBA at a top 10 finance school
5.) Work 10 years at your BB and establish a ton of connections
6.) IF.. IF hedge funds are still hot 15-20 years from now, start up a hedge fund.</p>
<p>7.) Pray to god your first 3 years you can attract big money from big people, beat the market, and can handle the pressure.</p>
<p>I probably sound like an idiot but its worth the shot. What's BB</p>
<p>BB stands for bulge bracket.</p>
<p>Basically the investment banks that generate the most revenues, thereby, dominating the league tables.</p>
<p>Some for example: GS, MS, LEH, JPM, BS, CS, etc</p>
<p>Most people aim for these due to the amount of deal flow (IBD) or exposure to different trading products (S&T)</p>
<p>Here bud, this is how its done.</p>
<p>1) Go to Wharton and major in Finance
2) Get a 3.8+ GPA
3) Lead some ECs there
4) Intern at a Boutique the summer after your freshmen year
5) Do a Sophomore IB rotational at JPM
6) As a Junior Intern at GS
7) Graduate and work at GS TMT or GS S&T (Depending on what type of HF you want)
8) Get some contacts and be the best analyst there
9) Go to HBS or Get a job directly at a HF
10) Make sure you have at least 20mm in capital before you start, start when the economy is good.
11) Hope that the economy doesn't sour during your first few years or you're done.</p>
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1) Go to Wharton and major in Finance
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<p>Everyone says go to Wharton, while half the idiots on this forum have not what it takes for acceptance.</p>
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Everyone says go to Wharton, while half the idiots on this forum have not what it takes for acceptance.
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<p>Agreed. A degree from a prestigious school can only open doors for you, however how much you get from the program will ultimately decide how much you accomplish.</p>
<p>collegefreak, i applaud your decision as i too wish to start my own HF at around 27-28. in my opinion the hardest task of the business is raising the capital, which means you have to do what people want and make yourself seem good. in terms of actually learning something in college, you should probably determine what directiong you are going to take the fund in (supposing you start it), if you are going to do alot of fundamental analysis/value investing, finance and accounting are probably a better choice, but if you want to make it a trading fund (and remember hedge funds account for up to 30-40% of the markets daily volume so obviously many have chosen this path) economics would be your best bet because you'd be able to react quicker. just look the subprime crisis this past summer, i saw that some hedge fund (didn't catch name) i believe made $20 billion. obviously AAPL and GOOG going down as a result of the crisis was not something that finance or accounting could've picked up on, but it was more economics.
Although both are hedge funds, a distressed security fund is completely different than say an oil futures fund or a short-only fund.</p>
<p>as for myself, i have an "interview" w/ a global equity type fund in january, which sucks because anything global im horrible at (the whole global market turned me off when i saw the difficulties in mastering forex). i do plan on going to Stern or Wharton, and get majors in accounting and financing and go to Columbia Business school to learn more about value investing. hopefully in the future when i begin my fund, i will implement be a "buy-and-hold" type strategy, as well as deal w/ derivatives (options & futures).</p>
<p>so basically it boils down to what type of investing interests you while keeping in mind that if you begin your fund (even if you hire a marketer for it) you will need to look "smart"</p>
<p>if you ever have questions or need guidance, you can feel free to PM me and i'll get back to you</p>
<p>^ The biggest issue with what he (and you) want to do is that the next 5 years is probably going to be the single worst time in our lifetimes (with the exception of 2000-2001) for actually raising capital.</p>
<p>Tetrishead, why do you say that? Also, I would in no way start a HF in the next 5 years, and only maybe in 10, so I guess I win :-).</p>