Which hedge funds are poaching the most Big Tech talent — and which ones are seeing people jump ship for Silicon Valley

mmazzilli@businessinsider.com (Meredith Mazzilli)
·7 min read

 

Happy Saturday! 

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Now, onto this week's big stories from the Business Insider finance team. 

The savviest hedge funds need employees with specific skills to keep up — and keep ahead — in a rapidly changing world. That means data scientists, coders, engineers, and systems managers.

And while those skills might seem to make the most sense in Silicon Valley, Wall Street has been working for years to pry people away from Big Tech. And as Bradley Saacks reports, it looks like the efforts have been paying off for some:

 

two sigma is recruiting top talent
two sigma is recruiting top talent

Yuqing Liu/Business Insider

You can read the full story here:

3 charts map out the epic poaching war between top hedge funds and Big Tech, and show which firms are coming out ahead in an escalating battle

There's also plenty to talk about when it comes to the winners and losers on the performance front in 2020. After a tumultuous start to the year, many big-name hedge fund managers are back in the black.

For one, $34 billion Citadel is dominating 2020 —Bradley took a look at how it's outperforming rivals, and the hedge fund's plan for its latest Goldman hire. But plenty of players haven't been so lucky, and Bradley also rounded up seven big names that are tanking as their credit and quant strategies flounder. 

Keep reading for a look at who's leading Goldman Sachs' merchant-banking division; what Facebook's mega NYC real-estate deal means for the future of the office; and why one fintech is looking for ways to let kids play the stock market. 

Enjoy the weekend, 

Meredith 

Who's leading Goldman's merchant-banking division

goldman sachs leaders merchant banking division list 2x1
From left: Nishi Somaiya, Richard Friedman, Stephanie Hui, and Julian Salisbury.

Goldman Sachs; Samantha Lee/Business Insider

Goldman Sachs' merchant-banking division has been ground zero for CEO David Solomon's push to build an alternatives investing powerhouse. 

That strategy has required a combining of several disparate teams from across the firm, which prompted some turnover. But the management team has stabilized in recent months, and Dakin Campbell mapped out who's running the show now.

Read the full story here:

REVEALED: Goldman Sachs leaders who are now running the powerful merchant-banking division that's raising $100 billion for a new alternatives push

A quick fix for valuation woes?

peter thiel
peter thiel

SAUL LOEB/AFP/Getty Images

As Bradley Saacks and Meghan Morris reported this week, some of the world's most well-known private companies have lost value since the pandemic's start.And even before the coronavirus hit, a survey of venture capitalists found that a majority believed unicorns were "significantly" overvalued.

But bankers and valuation experts see a potential quick fix to falling valuations: SPACs, which have taken Wall Street by storm over the last month. 

Read the full story here:

Big investors have been slashing valuations on stakes in private companies like Palantir and Sweetgreen. But bankers say there could be a quick fix.

Don't write off the office just yet

Vornados Farley Building rendering
Rendering of Farley Building.

Vornado Realty Trust.

Facebook is now extending its work-from-home policy until summer 2021.

But the tech giant has also moved forward with a massive lease to take all of the office space in the Farley Building on Manhattan's West Side. The deal marks a major vote of confidence in New York City's office market at a moment when its future has been thrust into question by the coronavirus pandemic.

Read the full story here:

Facebook just reached a blockbuster deal to lease the massive Farley Building in NYC as a tech and engineering hub. Here's why it's a huge win for a shaken office market.

Cold storage is a red-hot real estate play

amazon fresh
A worker walks past Amazon Fresh delivery vans parked at an Amazon Fresh warehouse in Inglewood, California.

REUTERS/Jonathan Alcorn

Once an obscure corner of real estate, cold storage has seen a jump in demand thanks to surging online grocery orders and shifting consumer preferences for fresh foods. And as Dan Geiger reported this week, cold-storage giant Lineage Logistics has expanded its dominance in the space by scooping up 24 warehouses across the US for more than $500 million.

Read the full story here:

Here's how the private-equity backed industry leader is spending $500 million to tighten its grip on the market.

Parental control for investing

kids
kids

wavebreakmedia/Shutterstock

Greenlight, the personal financial management app for kids and parents, has seen its user base double since the start of the year. Now it's building an investing feature where kids can propose stock and ETF trades to their parents.

"To build true wealth, you really need to learn how to invest," Tim Sheehan, cofounder and CEO of Greenlight, told Business Insider's Shannen Balogh. "So we want the kids to try to learn that as early as they can, and to do it in a supervised environment."

Read the full story here:

A JPMorgan-backed personal finance app catering to children has doubled users this year. Now it's eyeing ways to let kids play the stock market.

Careers

Real estate

Fintech and payments

Wealth and investing

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