102-912: The Showbox (originally known as the Showbox Theater ) is a music venue in Seattle , Washington , United States. It has been owned by AEG Live since 2007. Founded in 1939, the Showbox has hosted a diverse offering of music over the decades. From the Jazz Age to the Grunge Era, the ballroom has featured shows by Duke Ellington , Muddy Waters , and the Ramones — as well as local artists such as burlesque performer Gypsy Rose Lee , and grunge bands Soundgarden , Pearl Jam , Mudhoney , TAD and Screaming Trees . After many years of operating as
204-414: A bull market , distressed investing works best during a bear market . Risk arbitrage or merger arbitrage includes such events as mergers , acquisitions, liquidations, and hostile takeovers . Risk arbitrage typically involves buying and selling the stocks of two or more merging companies to take advantage of market discrepancies between acquisition price and stock price. The risk element arises from
306-439: A counterparty to derivative contracts , and lends securities for particular investment strategies, such as long/short equities and convertible bond arbitrage . It can provide custodial services for the fund's assets, and trade execution and clearing services for the hedge fund manager. Hedge fund administrators are typically responsible for valuation services, and often operations , and accounting . Calculation of
408-415: A cover charge if a live band is playing. Some jazz clubs host " jam sessions " after hours or on early evenings of the week. At jam sessions, both professional musicians and advanced amateurs will typically share the stage. In Japan, small live music clubs are known as live houses (ライブハウス), especially featuring rock, jazz, blues , and folk music , and have existed since the 1970s, now being found across
510-425: A dress code . The busiest nights for a nightclub are Friday and Saturday night. Most clubs or club nights cater to certain music genres , such as house music or hip hop . Many clubs have recurring club nights on different days of the week. Most club nights focus on a particular genre or sound for branding effects. A stadium is a place or venue for (mostly) outdoor sports, concerts, or other events and consists of
612-1006: A lack of transparency . Another common perception of hedge funds is that their managers are not subject to as much regulatory oversight and/or registration requirements as other financial investment managers, and more prone to manager-specific idiosyncratic risks such as style drifts, faulty operations, or fraud. New regulations introduced in the US and the EU as of 2010 required hedge fund managers to report more information, leading to greater transparency. In addition, investors, particularly institutional investors, are encouraging further developments in hedge fund risk management, both through internal practices and external regulatory requirements. The increasing influence of institutional investors has led to greater transparency: hedge funds increasingly provide information to investors including valuation methodology, positions, and leverage exposure. Hedge funds share many of
714-549: A music festival . Music venues are typically either private businesses or public facilities set up by a city, state, or national government. Some music venues are also run by non-government organizations, such as music associations. Some venues only promote and hold shows of one particular genre, such as opera houses . Stadiums, on the other hand, may show rock, classical , and world music . Music venues can be categorised by size and capacity. The smallest venues, coffeeshops and tiny nightclubs have room for tens of spectators;
816-474: A string section . Large rooms were also more common in the Swing era, because at that time, jazz was popular as a dance music , so the dancers needed space to move. With the transition to 1940s-era styles like bebop and later styles such as soul jazz , small combos of musicians such as quartets and trios were mostly used, and the music became more of a music to listen to, rather than a form of dance music. As
918-535: A "fundamental growth" strategy invest in companies with more earnings growth than the overall stock market or relevant sector, while funds using a " fundamental value " strategy invest in undervalued companies. Funds that use quantitative and financial signal processing techniques for equity trading are described as using a "quantitative directional" strategy. Funds using a " short bias " strategy take advantage of declining equity prices using short positions. Event-driven strategies concern situations in which
1020-440: A CTA from a regulatory perspective and the main divide is between systematic and discretionary strategies. A classification framework for CTA/Macro Strategies can be found in the reference. Directional investment strategies use market movements, trends, or inconsistencies when picking stocks across a variety of markets. Computer models can be used, or fund managers will identify and select investments. These types of strategies have
1122-404: A combination of the two, depending on the event or time of day. Discothèques are mainly designed for prerecorded music played by a disc jockey . Live music venues have one or more stages for the performers. Venues may be unticketed, casual entry available on the door with a cover charge , or advance tickets only. A dress code may or may not apply. At some venues, the main focus is watching
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#17327974305521224-431: A computerized system, known as "systematic/quantitative". The amount of diversification within the fund can vary; funds may be multi-strategy, multi-fund, multi-market, multi-manager, or a combination. Sometimes hedge fund strategies are described as " absolute return " and are classified as either " market neutral " or "directional". Market neutral funds have less correlation to overall market performance by "neutralizing"
1326-601: A field or stage either partly or completely surrounded by a tiered structure designed to allow spectators to stand or sit and view the event. Although concerts, such as classical music, had been presented in them for decades, beginning in the 1960s stadiums began to be used as live venues for popular music, giving rise to the term " stadium rock ", particularly for forms of hard rock and progressive rock . The origins of stadium rock are sometimes dated to when The Beatles played Shea Stadium in New York in 1965. Also important
1428-521: A fund has too much exposure to a particular investment, sector, trading strategy, or group of correlated funds. These risks may be managed through defined controls over conflict of interest , restrictions on allocation of funds, and set exposure limits for strategies. Many investment funds use leverage , the practice of borrowing money, trading on margin , or using derivatives to obtain market exposure in excess of that provided by investors' capital. Although leverage can increase potential returns,
1530-446: A fund manager "drifting" away from an area of specific expertise, manager risk factors include valuation risk , capacity risk, concentration risk , and leverage risk . Valuation risk refers to the concern that the net asset value (NAV) of investments may be inaccurate; capacity risk can arise from placing too much money into one particular strategy, which may lead to fund performance deterioration; and concentration risk may arise if
1632-470: A good year. Earnings at the very top are higher than in any other sector of the financial industry, and collectively the top 25 hedge fund managers regularly earn more than all 500 of the chief executives in the S&;P 500 . Most hedge fund managers are remunerated much less, however, and if performance fees are not earned then small managers at least are unlikely to be paid significant amounts. In 2011,
1734-403: A greater appetite for risk , with the intention of maximizing returns, subject to the risk tolerance of investors and the fund manager. Managers will have an additional incentive to increase risk oversight when their own capital is invested in the fund. Hedge fund management firms typically charge their funds both a management fee and a performance fee . Management fees are calculated as
1836-604: A greater exposure to the fluctuations of the overall market than do market neutral strategies. Directional hedge fund strategies include US and international long/short equity hedge funds, where long equity positions are hedged with short sales of equities or equity index options . Within directional strategies, there are a number of sub-strategies. " Emerging markets " funds focus on emerging markets such as China and India, whereas "sector funds" specialize in specific areas including technology, healthcare, biotechnology, pharmaceuticals, energy, and basic materials. Funds using
1938-439: A large amount of flexibility (due to their ability to use leverage to take large positions in diverse investments in multiple markets), the timing of the implementation of the strategies is important in order to generate attractive, risk-adjusted returns. Global macro is often categorized as a directional investment strategy. Global macro strategies can be divided into discretionary and systematic approaches. Discretionary trading
2040-445: A management fee of 2% on total assets and a 20% fee on realized gains. In the 1970s, hedge funds specialized in a single strategy with most fund managers following the long/short equity model. Many hedge funds closed during the recession of 1969–1970 and the 1973–1974 stock market crash due to heavy losses. They received renewed attention in the late 1980s. During the 1990s, the number of hedge funds increased significantly with
2142-400: A manager is only rewarded if the fund generates returns in excess of the returns that the investor would have received if they had invested their money elsewhere. Some hedge funds charge a redemption fee (or withdrawal fee) for early withdrawals during a specified period of time (typically a year), or when withdrawals exceed a predetermined percentage of the original investment. The purpose of
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#17327974305522244-422: A manager will sometimes close a fund that has suffered serious losses and start a new fund, rather than attempt to recover the losses over a number of years without a performance fee. Some performance fees include a " hurdle ", so that a fee is only paid on the fund's performance in excess of a benchmark rate ( e.g. , LIBOR ) or a fixed percentage. The hurdle is usually tied to a benchmark rate such as Libor or
2346-400: A percentage of the fund's net asset value and typically range from 1% to 4% per annum, with 2% being standard. They are usually expressed as an annual percentage, but calculated and paid monthly or quarterly. Management fees for hedge funds are designed to cover the operating costs of the manager, whereas the performance fee provides the manager's profits. However, due to economies of scale
2448-665: A position based on the predicted movement of the security or securities in question. Large institutional investors such as hedge funds are more likely to pursue event-driven investing strategies than traditional equity investors because they have the expertise and resources to analyze corporate transactional events for investment opportunities. Corporate transactional events generally fit into three categories: distressed securities , risk arbitrage , and special situations . Distressed securities include such events as restructurings, recapitalizations , and bankruptcies . A distressed securities investment strategy involves investing in
2550-496: A prominent part of British , Irish , Breton , New Zealand , Canadian , South African , and Australian cultures . In many places, especially in villages, a pub is the focal point of the community. In his 17th-century diary, Samuel Pepys described the pub as "the heart of England". Most pubs focus on offering beers, ales and similar drinks. As well, pubs often sell wines, spirits , and soft drinks , meals and snacks . Pubs may be venues for pub songs and live music. During
2652-423: A publicly funded music venue is a bandstand in a municipal park; such outdoor venues typically do not charge for admission. A nightclub is a privately funded venue operated as a profit-making business; venues like these typically charge an entry fee to generate a profit. Music venues do not necessarily host live acts; disc jockeys at a discothèque or nightclub play recorded music through a PA system . Depending on
2754-508: A result, smaller clubs with small stages became practical. In the 2000s, jazz clubs may be found in the basements of larger residential buildings , in storefront locations or in the upper floors of retail businesses. They can be rather small compared to other music venues, such as rock music clubs, reflecting the intimate atmosphere of jazz shows and long-term decline in popular interest in jazz. Despite being called " clubs ", these venues are usually not exclusive. Some clubs, however, have
2856-410: A single strategy or multiple strategies for flexibility, risk management , or diversification. The hedge fund's prospectus , also known as an offering memorandum , offers potential investors information about key aspects of the fund, including the fund's investment strategy, investment type, and leverage limit. The elements contributing to a hedge fund strategy include the hedge fund's approach to
2958-441: A specific genre of music. A jazz club is a venue where the primary entertainment is the performance of live jazz music, although some jazz clubs primarily focus on the study and/or promotion of jazz-music. Jazz clubs are usually a type of nightclub or bar , which is licensed to sell alcoholic beverages. Jazz clubs were in large rooms in the eras of orchestral jazz and big band jazz , when bands were large and often augmented by
3060-448: A stage for live music, one or more dance floor areas and a DJ booth, where a DJ plays recorded music. The upmarket nature of nightclubs can be seen in the inclusion of VIP areas in some nightclubs, for celebrities and their guests. Nightclubs are much more likely than pubs or sports bars to use bouncers to screen prospective clubgoers for entry. Some nightclub bouncers do not admit people with informal clothing or gang apparel as part of
3162-627: A state of maturity that is consolidating around the larger, more established firms such as Citadel, Elliot, Millennium, Bridgewater, and others. The rate of new fund start ups is now outpaced by fund closings. In July 2017, hedge funds recorded their eighth consecutive monthly gain in returns with assets under management rising to a record $ 3.1 trillion. Hedge fund strategies are generally classified among four major categories: global macro , directional, event-driven , and relative value ( arbitrage ). Strategies within these categories each entail characteristic risk and return profiles. A fund may employ
The Showbox - Misplaced Pages Continue
3264-401: A strategy based on predicting the final approval of new pharmaceutical drugs ; and legal catalyst strategy, which specializes in companies involved in major lawsuits. Relative value arbitrage strategies take advantage of relative discrepancies in price between securities. The price discrepancy can occur due to mispricing of securities compared to related securities, the underlying security or
3366-496: A substantial portion of the asset management industry, with assets totaling around $ 3.8 trillion as of 2021. The word "hedge", meaning a line of bushes around the perimeter of a field, has long been used as a metaphor for placing limits on risk. Early hedge funds sought to hedge specific investments against general market fluctuations by shorting other, similar assets. Nowadays, however, many different investment strategies are used, many of which do not "hedge" risk. During
3468-426: A theater. They may range from open-air amphitheaters to ornate, cathedral -like structures to simple, undecorated rooms or black box theaters . Some theaters may have a fixed performing area (in most theaters this is known as the stage ), while some theaters, such as "black box theaters", may not. For the audience, theaters may include balconies or galleries, boxes , typically considered the most prestigious area of
3570-491: A truck warehouse in 1935 for John Eddy Franklin, who was also responsible for the Columbarium at Evergreen Washelli Funeral Home. The main part of the warehouse had a dirt floor and a gas pump. The building and the land parcel are currently owned by WSA Properties VI LLC, a holding company founded by hedge fund manager Chris Hansen and Steve Ballmer , the former Microsoft chief executive officer and current owner of
3672-530: Is a theatre venue constructed specifically for opera . It consists of a stage , an orchestra pit , audience seating, and backstage facilities for costumes and set building. While some venues are constructed specifically for operas, other opera houses are part of larger performing arts centers. Indeed the term opera house itself is often used as a term of prestige for any large performing-arts center. The Teatro San Carlo in Naples , opened in 1737, introduced
3774-644: Is any location used for a concert or musical performance. Music venues range in size and location, from a small coffeehouse for folk music shows, an outdoor bandshell or bandstand or a concert hall to an indoor sports stadium . Typically, different types of venues host different genres of music. Opera houses , bandshells, and concert halls host classical music performances, whereas public houses ("pubs"), nightclubs , and discothèques offer music in contemporary genres, such as rock , dance , country , and pop . Music venues may be either privately or publicly funded, and may charge for admission. An example of
3876-460: Is called an opera house . The theater serves to define the performance and audience spaces. The facility is traditionally organized to provide support areas for performers, the technical crew and the audience members. There are as many types of theaters as there are types of performance. Theaters may be built specifically for a certain types of productions, they may serve for more general performance needs or they may be adapted or converted for use as
3978-602: Is carried out by investment managers who identify and select investments, whereas systematic trading is based on mathematical models and executed by software with limited human involvement beyond the programming and updating of the software. These strategies can also be divided into trend or counter-trend approaches depending on whether the fund attempts to profit from following market trend (long or short-term) or attempts to anticipate and profit from reversals in trends. Within global macro strategies, there are further sub-strategies including "systematic diversified", in which
4080-666: Is common for hedge fund investment strategies to aim to achieve a positive return on investment regardless of whether markets are rising or falling (" absolute return "). Hedge funds can be considered risky investments; the expected returns of some hedge fund strategies are less volatile than those of retail funds with high exposure to stock markets because of the use of hedging techniques. Research in 2015 showed that hedge fund activism can have significant real effects on target firms, including improvements in productivity and efficient reallocation of corporate assets. Moreover, these interventions often lead to increased labor productivity, although
4182-527: Is larger than its elder sibling, which was renamed The Showbox at the Market to distinguish the two. The venue has hosted events featuring My Bloody Valentine , Heart , The Pogues , M.I.A , The Hives , Dropkick Murphys , Josh Ritter , Counting Crows , Panic! at the Disco , Adam Lambert , Odd Future , Jillian Banks , The WhiteTrash Whiplash, Trivium and others. The Showbox SoDo was originally built as
The Showbox - Misplaced Pages Continue
4284-557: Is reduced but cannot be eliminated. According to a report by the Hennessee Group, hedge funds were approximately one-third less volatile than the S&P 500 between 1993 and 2010. Investors in hedge funds are, in most countries, required to be qualified investors who are assumed to be aware of the investment risks , and accept these risks because of the potential returns relative to those risks. Fund managers may employ extensive risk management strategies in order to protect
4386-479: The 1990s stock market rise , the aligned-interest compensation structure ( i.e. , common financial interests), and the promise of above average returns as likely causes. Over the next decade, hedge fund strategies expanded to include credit arbitrage, distressed debt , fixed income , quantitative , and multi-strategy. US institutional investors , such as pension and endowment funds , began allocating greater portions of their portfolios to hedge funds. During
4488-505: The Improv Comedy Club , restaurateur Tony Riviera and Barry Bloch purchased The Improv with the intent of continuing operating the venue as The Improv. Riviera and Bloch discovered old photos, historical information and articles about the Showbox and decided to recreate the venue as its original look and reopened New Year's Eve, 1995 as The Showbox Comedy and Supper Club which they operated for several years before deciding to sell
4590-655: The Los Angeles Clippers basketball team. Purchased in August 2012, Hansen and Ballmer intended to use the land as part of a proposal for a new sports arena to lure an NBA team back to Seattle following the relocation of the SuperSonics to Oklahoma City in 2008. After a failed effort to purchase and relocate the Sacramento Kings in 2013, a five-year exclusive agreement with the city on
4692-408: The net asset value ("NAV") by the administrator, including the pricing of securities at current market value and calculation of the fund's income and expense accruals, is a core administrator task, because it is the price at which investors buy and sell shares in the fund. The accurate and timely calculation of NAV by the administrator is vital. The case of Anwar v. Fairfield Greenwich (SDNY 2015)
4794-726: The 1,226 people on the Forbes World's Billionaires List for 2012, 36 of the financiers listed "derived significant chunks" of their wealth from hedge fund management. Among the richest 1,000 people in the United Kingdom, 54 were hedge fund managers, according to the Sunday Times Rich List for 2012. A portfolio manager risks losing his past compensation if he or she engages in insider trading . In Morgan Stanley v. Skowron , 989 F. Supp. 2d 356 (S.D.N.Y. 2013), applying New York's faithless servant doctrine,
4896-469: The 1970s pubs provided an outlet for a number of bands, such as Kilburn and the High Roads , Dr. Feelgood , and The Kursaal Flyers , who formed a musical genre called pub rock that was a precursor to Punk music . A nightclub is an entertainment venue and bar that usually operates late into the night. A nightclub is generally distinguished from regular bars, pubs or taverns by the inclusion of
4998-622: The 1980s, arena rock became dominated by glam metal bands, following the lead of Aerosmith and including Mötley Crüe , Quiet Riot , W.A.S.P. , and Ratt . Since the 1980s, rock, pop, and folk stars, including the Grateful Dead , Madonna , Britney Spears , Beyoncé , and Taylor Swift , have undertaken large-scale stadium based concert tours . A theater or playhouse is a structure where theatrical works or plays are performed, or other performances such as musical concerts may be produced. A theatre used for opera performances
5100-606: The 19th century contained between about 1,500 to 3,000 seats, examples being Brussels ' La Monnaie (after renovations, 1,700 seats), Odessa Opera and Ballet Theater (with 1,636), Warsaw 's Grand Theatre (the main auditorium with 1,841), Paris ' Palais Garnier (with 2,200), the Royal Opera House in London (with 2,268), and the Vienna State Opera (the new auditorium with 2,280). Modern opera houses of
5202-601: The 20th century such as New York 's Metropolitan Opera House (with 3,800) and the War Memorial Opera House in San Francisco (with 3,146) are larger. Many operas are better suited to being presented in smaller theaters, such as Venice 's La Fenice with about 1,000 seats. In a traditional opera house, the auditorium is U-shaped, with the length of the sides determining the audience capacity. Around this are tiers of balconies, and often, nearer to
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#17327974305525304-512: The Showbox an official City of Seattle landmark garnered over 110,000 signatures. Local preservation advocates, including Historic Seattle , Friends of Historic Belltown, and Vanishing Seattle, submitted a landmark nomination for review by the City of Seattle's Landmarks Preservation Board in June 2019. The board unanimously decided to grant the Showbox landmark designation on July 17, 2019, preventing
5406-654: The US bull market of the 1920s, there were numerous private investment vehicles available to wealthy investors. Of that period, the best known today is the Graham-Newman Partnership, founded by Benjamin Graham and his long-time business partner Jerry Newman. This was cited by Warren Buffett in a 2006 letter to the Museum of American Finance as an early hedge fund, and based on other comments from Buffett, Janet Tavakoli deems Graham's investment firm
5508-499: The United States and Europe following the financial crisis of 2007–2008 with the intention of increasing government oversight of hedge funds and eliminating certain regulatory gaps. While most modern hedge funds are able to employ a wide variety of financial instruments and risk management techniques, they can be very different from each other with respect to their strategies, risks, volatility and expected return profile. It
5610-547: The United States collectively held $ 1.335 trillion. In April 2012, the hedge fund industry reached a record high of US$ 2.13 trillion total assets under management. In the middle of the 2010s, the hedge fund industry experienced a general decline in the "old guard" fund managers. Dan Loeb called it a "hedge fund killing field" due to the classic long/short falling out of favor because of unprecedented easing by central banks . The US stock market correlation became untenable to short sellers . The hedge fund industry today has reached
5712-637: The arena development ended in 2017. The city subsequently negotiated a deal with Oak View Group to build a new arena on the site of the former KeyArena across town at Seattle Center , preserving that building's historic roof. While Hansen holds onto the property as a potential back-up arena plan, should Climate Pledge Arena fail to secure an NBA team, the Showbox SoDo continues to operate at its location. 47°36′30″N 122°20′22″W / 47.60833°N 122.33944°W / 47.60833; -122.33944 Music venue A music venue
5814-404: The back half of the shell protect musicians from the elements and reflect sound through the open side and out towards the audience. Bandstand is a small outdoor structure. A concert hall is a performance venue constructed specifically for instrumental classical music . A concert hall may exist as part of a larger performing arts center. Jazz clubs are an example of a venue that is dedicated to
5916-420: The background, such as a performance on a grand piano in a restaurant . Music venues can be categorised in a number of ways. Typically, the genre of music played at the venue, whether it is temporary and who owns the venue decide many of the other characteristics. The majority of music venues are permanent; however, there are temporary music venues. An example of a temporary venue would be one constructed for
6018-426: The benefits may not fully accrue to workers in terms of increased wages or work hours. A hedge fund usually pays its investment manager a management fee (typically, 2% per annum of the net asset value of the fund) and a performance fee (typically, 20% of the increase in the fund's net asset value during a year). Hedge funds have existed for many decades and have become increasingly popular. They have now grown to be
6120-479: The bonds or loans of companies facing bankruptcy or severe financial distress, when these bonds or loans are being traded at a discount to their value. Hedge fund managers pursuing the distressed debt investment strategy aim to capitalize on depressed bond prices. Hedge funds purchasing distressed debt may prevent those companies from going bankrupt, as such an acquisition deters foreclosure by banks. While event-driven investing, in general, tends to thrive during
6222-657: The building in early 2004 but closed in 2005. In Fall 2006, the Fenix Underground, a club that spent 15 years in two locations in Pioneer Square, took over the space but just as quickly folded when it filed for bankruptcy in May 2007. The Showbox stepped in and added the venue to its family, opening as the Showbox SoDo in September 2007. The space has wood-beam and brick architecture. With a capacity of 1,800, it
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#17327974305526324-685: The country. The term is a Japanese coinage ( wasei eigo ) and is mainly used in East Asia . The oldest live house is Coffee House Jittoku (拾得, after the Chinese monk Shide "Foundling") in Kyoto , founded in 1973 in an old sake warehouse. Soon afterwards, the idea spread through Japan. In recent years, similar establishments started to appear in big cities in South Korea and China ; many of them are also locally called "live houses." An opera house
6426-541: The court held that a hedge fund's portfolio manager engaging in insider trading in violation of his company's code of conduct, which also required him to report his misconduct, must repay his employer the full $ 31 million his employer paid him as compensation during his period of faithlessness. The court called the insider trading the "ultimate abuse of a portfolio manager's position". The judge also wrote: "In addition to exposing Morgan Stanley to government investigations and direct financial losses, Skowron's behavior damaged
6528-609: The effect of market swings whereas directional funds utilize trends and inconsistencies in the market and have greater exposure to the market's fluctuations. Hedge funds using a global macro investing strategy take large positions in share, bond, or currency markets in anticipation of global macroeconomic events in order to generate a risk-adjusted return . Global macro fund managers use macroeconomic ("big picture") analysis based on global market events and trends to identify opportunities for investment that would profit from anticipated price movements. While global macro strategies have
6630-431: The fee is to discourage short-term investing, reduce turnover, and deter withdrawals after periods of poor performance. Unlike management fees and performance fees, redemption fees are usually kept by the fund and redistributed to all investors. Hedge fund management firms are often owned by their portfolio managers , who are therefore entitled to any profits that the business makes. As management fees are intended to cover
6732-540: The firm's operating costs, performance fees (and any excess management fees) are generally distributed to the firm's owners as profits. Funds do not tend to report compensation, and so published lists of the amounts earned by top managers tend to be estimates based on factors such as the fees charged by their funds and the capital they are thought to have invested in them. Many managers have accumulated large stakes in their own funds and so top hedge fund managers can earn extraordinary amounts of money, perhaps up to $ 4 billion in
6834-736: The firm's reputation, a valuable corporate asset." A hedge fund is an investment vehicle that is most often structured as an offshore corporation , limited partnership , or limited liability company . The fund is managed by an investment manager in the form of an organization or company that is legally and financially distinct from the hedge fund and its portfolio of assets . Many investment managers utilize service providers for operational support. Service providers include prime brokers, banks, administrators, distributors, and accounting firms. Prime brokers clear trades and provide leverage and short-term financing . They are usually divisions of large investment banks. The prime broker acts as
6936-604: The first decade of the 21st century, hedge funds gained popularity worldwide, and, by 2008, the worldwide hedge fund industry held an estimated US$ 1.93 trillion in assets under management (AUM). However, the financial crisis of 2007–2008 caused many hedge funds to restrict investor withdrawals and their popularity and AUM totals declined. AUM totals rebounded and in April 2011 were estimated at almost $ 2 trillion. As of February 2011 , 61% of worldwide investment in hedge funds came from institutional sources. In June 2011,
7038-471: The first hedge fund. The sociologist Alfred W. Jones is credited with coining the phrase " hedged fund" and is credited with creating the first hedge fund structure in 1949. Jones referred to his fund as being "hedged", a term then commonly used on Wall Street to describe the management of investment risk due to changes in the financial markets . Jones also developed the popular 2-and-20 structure of hedge funds, in which hedge funds charged investors
7140-585: The four main categories, there are several strategies that do not entirely fit into these categories. For an investor who already holds large quantities of equities and bonds, investment in hedge funds may provide diversification and reduce the overall portfolio risk. Managers of hedge funds often aim to produce returns that are relatively uncorrelated with market indices and are consistent with investors' desired level of risk. While hedging can reduce some risks of an investment it usually increases others, such as operational risk and model risk , so overall risk
7242-652: The fund and investors. According to the Financial Times , "big hedge funds have some of the most sophisticated and exacting risk management practices anywhere in asset management." Hedge fund managers that hold a large number of investment positions for short periods are likely to have a particularly comprehensive risk management system in place, and it has become usual for funds to have independent risk officers who assess and manage risks but are not otherwise involved in trading. A variety of different measurement techniques and models are used to estimate risk according to
7344-654: The fund trades in diversified markets, or sector specialists such as "systematic currency", in which the fund trades in foreign exchange markets or any other sector specialisation. Other sub-strategies include those employed by commodity trading advisors (CTAs), where the fund trades in futures (or options ) in commodity markets or in swaps. This is also known as a "managed future fund". CTAs trade in commodities (such as gold) and financial instruments, including stock indices . They also take both long and short positions, allowing them to make profit in both market upswings and downswings. Most global macro managers tends to be
7446-436: The fund's net asset value , whereas private-equity funds generally invest in illiquid assets and return capital only after a number of years. Other than a fund's regulatory status, there are no formal or fixed definitions of fund types, and so there are different views of what can constitute a "hedge fund". Although hedge funds are not subject to the many restrictions applicable to regulated funds, regulations were passed in
7548-464: The fund's leverage, liquidity, and investment strategy. Non-normality of returns, volatility clustering and trends are not always accounted for by conventional risk measurement methodologies and so in addition to value at risk and similar measurements, funds may use integrated measures such as drawdowns . In addition to assessing the market-related risks that may arise from an investment, investors commonly employ operational due diligence to assess
7650-418: The hedge fund management firms with the greatest AUM were Bridgewater Associates (US$ 58.9 billion), Man Group (US$ 39.2 billion), Paulson & Co. (US$ 35.1 billion), Brevan Howard (US$ 31 billion), and Och-Ziff (US$ 29.4 billion). Bridgewater Associates had $ 70 billion in assets under management as of March 2012 . At the end of that year, the 241 largest hedge fund firms in
7752-402: The hedge fund manager must identify an upcoming event that will increase or decrease the value of the company's equity and equity-related instruments. Other event-driven strategies include credit arbitrage strategies, which focus on corporate fixed income securities; an activist strategy, where the fund takes large positions in companies and uses the ownership to participate in the management;
7854-605: The horseshoe-shaped auditorium, the oldest in the world, a model for the Italian theater. On this model were built subsequent theaters in Italy and Europe, among others, the court theater of the Palace of Caserta , which became the model for other theaters. Given the popularity of opera in 18th and 19th century Europe, opera houses are usually large, often containing more than 1,000 seats. Traditionally, Europe's major opera houses built in
7956-407: The house, and "house seats", known as "the best seats in the house", giving the best view of the stage. Hedge fund A hedge fund is a pooled investment fund that holds liquid assets and that makes use of complex trading and risk management techniques to improve investment performance and insulate returns from market risk . Among these portfolio techniques are short selling and
8058-492: The largest venues, such as stadiums, can hold tens of thousands of spectators. Music venues are either outdoor or indoor. Examples of outdoor venues include bandstands and bandshells ; such outdoor venues provide minimal shelter for performing musicians and are usually located in parks. A temporary music festival is typically an outdoor venue. Examples of indoor venues include public houses , nightclubs , coffee bars , and stadia. Venues can play live music, recorded music, or
8160-539: The management fee from larger funds can generate a significant part of a manager's profits, and as a result some fees have been criticized by some public pension funds, such as CalPERS , for being too high. The performance fee is typically 20% of the fund's profits during any year, though performance fees range between 10% and 50%. Performance fees are intended to provide an incentive for a manager to generate profits. Performance fees have been criticized by Warren Buffett , who believes that because hedge funds share only
8262-456: The market overall. Hedge fund managers can use various types of analysis to identify price discrepancies in securities, including mathematical, technical , or fundamental techniques. Relative value is often used as a synonym for market neutral , as strategies in this category typically have very little or no directional market exposure to the market as a whole. Other relative value sub-strategies include: In addition to those strategies within
8364-592: The market, the particular instrument use, the market sector the fund specializes in ( e.g. , healthcare), the method used to select investments, and the amount of diversification within the fund. There are a variety of market approaches to different asset classes , including equity , fixed income , commodity , and currency . Instruments used include equities, fixed income, futures , options , and swaps . Strategies can be divided into those in which investments can be selected by managers, known as "discretionary/qualitative", or those in which investments are selected using
8466-413: The one-year Treasury bill rate plus a spread. A "soft" hurdle means the performance fee is calculated on all the fund's returns if the hurdle rate is cleared. A "hard" hurdle is calculated only on returns above the hurdle rate. By example the manager sets a hurdle rate equal to 5%, and the fund return 15%, incentive fees would only apply to the 10% above the hurdle rate. A hurdle is intended to ensure that
8568-452: The operas of Richard Strauss ), it can be more than 100 players. Similarly, an opera may have a large cast of characters, chorus, dancers and supernumeraries . Therefore, a major opera house will have extensive dressing room facilities. Opera houses often have on-premises set and costume building shops and facilities for storage of costumes, make-up, masks, and stage properties, and may also have rehearsal spaces. Major opera houses throughout
8670-522: The operating tenant through at least 2024. Showbox SoDo opened in 2007 and belongs to the "Showbox Presents" family. It is located at 1700 1st Avenue South, Seattle, Washington, a few blocks south of T-Mobile Park and Lumen Field . It takes its name from the SoDo district, an area south of downtown Seattle and Pioneer Square . A converted-warehouse-turned-concert-venue, the Premier nightclub opened in
8772-499: The opportunity for larger gains is weighed against the possibility of greater losses. Hedge funds employing leverage are likely to engage in extensive risk management practices. In comparison with investment banks , hedge fund leverage is relatively low; according to a National Bureau of Economic Research working paper, the average leverage for investment banks is 14.2, compared to between 1.5 and 2.5 for hedge funds. Some types of funds, including hedge funds, are perceived as having
8874-481: The possibility that the merger or acquisition will not go ahead as planned; hedge fund managers will use research and analysis to determine if the event will take place. Special situations are events that impact the value of a company's stock, including the restructuring of a company or corporate transactions including spin-offs , share buy backs , security issuance/repurchase, asset sales, or other catalyst-oriented situations. To take advantage of special situations
8976-491: The profits and not the losses, such fees create an incentive for high-risk investment management. Performance fee rates have fallen since the start of the credit crunch . Almost all hedge fund performance fees include a " high water mark " (or "loss carryforward provision"), which means that the performance fee only applies to net profits ( i.e. , profits after losses in previous years have been recovered). This prevents managers from receiving fees for volatile performance, though
9078-416: The risk that error or fraud at a hedge fund might result in a loss to the investor. Considerations will include the organization and management of operations at the hedge fund manager, whether the investment strategy is likely to be sustainable, and the fund's ability to develop as a company. Since hedge funds are private entities and have few public disclosure requirements, this is sometimes perceived as
9180-454: The same types of risk as other investment classes, including liquidity risk and manager risk. Liquidity refers to the degree to which an asset can be bought and sold or converted to cash; similar to private-equity funds, hedge funds employ a lock-up period during which an investor cannot remove money. Manager risk refers to those risks which arise from the management of funds. As well as specific risks such as style drift , which refers to
9282-434: The show, such as at opera houses or classical recital halls. In some venues that also include food and beverage service, the performers may be playing background music to add to the ambiance. Amphitheaters are round- or oval-shaped and usually unroofed. Permanent seating at amphitheaters is generally tiered. A bandshell is a large, outdoor performing structure typically used by concert bands and orchestras . The roof and
9384-428: The singers, since trained opera singers are normally able to project their unamplified voices in the hall. Since the 1990s, however, some opera houses have begun using a subtle form of sound reinforcement called acoustic enhancement . A pub, or public house, is an establishment licensed to sell alcoholic drinks , which traditionally include beer (such as ale ) and cider . It is a social drinking establishment and
9486-544: The stage, are boxes (small partitioned sections of a balcony). Since the latter part of the 19th century, opera houses often have an orchestra pit , where many orchestra players may be seated at a level below the audience, so that they can play without overwhelming the singing voices. This is especially true of Wagner 's Bayreuth Festspielhaus where the pit is partially covered. The size of an opera orchestra varies, but for some operas, oratorios and other works, it may be very large; for some romantic period works (or for many of
9588-597: The theater from being demolished. The property owner filed a lawsuit against the city of Seattle. Claims of damages were dismissed by the court, but a trial was scheduled for August 2019 regarding other claims. On November 19, 2019, the Historic Seattle group announced a partnership with the Seattle Theatre Group and submitted a formal offer to purchase the property. The partnership would retain AEG as
9690-490: The top manager earned $ 3 billion, the tenth earned $ 210 million, and the 30th earned $ 80 million. In 2011, the average earnings for the 25 highest-compensated hedge fund managers in the United States was $ 576 million while the mean total compensation for all hedge fund investment professionals was $ 690,786 and the median was $ 312,329. The same figures for hedge fund CEOs were $ 1,037,151 and $ 600,000, and for chief investment officers were $ 1,039,974 and $ 300,000, respectively. Of
9792-513: The type of venue, the opening hours , location and length of performance may differ, as well as the technology used to deliver the music in the venue. Other attractions, such as performance art , standup comedy , or social activities, may also be available, either while music is playing or at other times. For example, at a bar or pub , the house band may be playing live songs while drinks are being served, and between songs, recorded music may be played. Some classes of venues may play live music in
9894-404: The underlying investment opportunity and risk are associated with an event. An event-driven investment strategy finds investment opportunities in corporate transactional events such as consolidations, acquisitions , recapitalizations , bankruptcies , and liquidations . Managers employing such a strategy capitalize on valuation inconsistencies in the market before or after such events, and take
9996-743: The use of leverage and derivative instruments . In the United States, financial regulations require that hedge funds be marketed only to institutional investors and high-net-worth individuals . Hedge funds are considered alternative investments . Their ability to use leverage and more complex investment techniques distinguishes them from regulated investment funds available to the retail market, commonly known as mutual funds and ETFs . They are also considered distinct from private equity funds and other similar closed-end funds as hedge funds generally invest in relatively liquid assets and are usually open-ended . This means they typically allow investors to invest and withdraw capital periodically based on
10098-523: The venue. Riviera went on to open numerous restaurants up and down the West Coast. In July 2018, Vancouver-based developer Onni Group announced plans to redevelop the property into a 42-floor apartment tower. Seattle musicians such as Pearl Jam , Duff McKagan , Alice in Chains , Death Cab for Cutie , and Macklemore voiced their support for preserving the Showbox. A petition on Change.org to name
10200-524: The world often have highly mechanized stages , with large stage elevators permitting heavy sets to be changed rapidly. At the Metropolitan Opera , for instance, sets are often changed during the action, as the audience watches, with singers rising or descending as they sing. This occurs in the Met's productions of operas such as Aida and Tales of Hoffmann . London 's Royal Opera House , which
10302-523: Was remodeled in the late 1990s, retained the original 1858 auditorium at its core, but added completely new backstage and wing spaces as well as an additional performance space and public areas. Much the same happened in the remodeling of Milan 's La Scala opera house between 2002 and 2004. Although stage, lighting and other production aspects of opera houses often make use of the latest technology, traditional opera houses have not used sound reinforcement systems with microphones and loudspeakers to amplify
10404-525: Was the use of large stadiums for American tours by bands in the later 1960s, such as The Rolling Stones , Grand Funk Railroad , and Led Zeppelin . The tendency developed in the mid-1970s as the increased power of amplification and sound systems allowed the use of larger and larger venues. Smoke, fireworks and sophisticated lighting shows became staples of arena rock performances. Key acts from this era included Journey , REO Speedwagon , Boston , Foreigner , Styx , Kiss , Peter Frampton , and Queen . In
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