American businessman and former hedge fund manager Julian Robertson is most renowned for starting Tiger Management in 1980 and seeing it develop into one of the most well-known hedge funds of its time. After leaving Tiger in 2000, Robertson mentored upcoming hedge fund managers and launched charitable endeavors that supported medical research and higher education.
In the 1980s and early 1990s, Robertson was well-known as the “Wizard of Wall Street” and the “Father of Hedge Funds.”
Childhood and Schooling
On June 25, 1932, Julian Robertson was born in Salisbury, North Carolina, to housewife Blanche Spenser Robertson and textile industry executive Julian Hart Robertson Sr. He attended and graduated from the University of North Carolina in 1955, having previously attended Episcopal High School in his hometown.
In 1957, Robertson began working as a retail broker at Kidder, Peabody & Co.’s New York office after serving two years in the Navy. As he advanced through the company’s levels, he finally assumed leadership of Webster Securities, the asset management branch. In 1979, Robertson left Kidder, Peabody & Co. to take a sabbatical in New Zealand for an entire year.
Prominent Achievements
Robertson came up with the concept for a new fund in New Zealand. When he returned to New York in 1980, he started Tiger Management, one of the earliest hedge funds. Robertson took advantage of starting resources estimated to be worth $8 million. Over the subsequent two decades, Tiger’s assets increased to $22 billion. Robertson’s ability to recognize investment opportunities within a global macro-trading approach is attributed to the fund’s performance. Robertson was a long-short investor who often loaded up on the most significant companies and shorted the ones he thought were the worst.
According to popular belief, Julian Robertson was the first significant hedge fund manager, and many other successful hedge fund investors followed in his footsteps.
During the rise of internet equities in the late 1990s, Robertson was also well-known for steering clear of tech investments. Tiger Management faced double-edged consequences from this evasion. The fund saw a loss of cash as investors moved their money to Silicon Valley, but it did well with the final burst of the tech boom. A further source of stress resulted from Robertson’s poor performance on a significant investment in U.S. Airways. In 2002 and 2004, respectively, U.S. Airways petitioned for bankruptcy protection.
In 2000, Robertson closed the Tiger Management Fund due to subpar results. He stated that a logical approach to trading and valuation had been the foundation of Tiger’s success. This tactic has become less successful with the uncontrollably high rise in internet stocks.
Robertson concentrated his efforts in the next few years on investing in and training a group of promising hedge fund managers known as the “Tiger Cubs.” Steve Mandel, previously of Lone Pine Capital; Chase Coleman of Tiger Global Management; Ole Andreas Halvorsen of Viking Global; and John Griffin of Blue Ridge Capital are notable members of this group.
Riches and Charities
Robertson gave up fund management and became involved in charitable endeavors. He established scholarships at Duke University and his former school and joined the Warren Buffet and Bill Gates initiative, The Giving Pledge. Robertson was also involved in New Zealand, where he bought a few opulent lodges nationwide.
According to Forbes, Robertson gave $1.3 billion to philanthropic organizations. Medical research, charter schools, and environmental preservation are a few of them. As of April 5, 2022, Robertson’s estimated net worth was $4.8 billion. On August 23, 2022, Julian Robertson passed away at 90 at his New York residence.
The Wizard of Wall Street: Who Is He?
Due to his skill at investing, millionaire Julian Robertson—dubbed the “wizard of Wall Street”—made his fortune in hedge funds.
Does Julian Robertson still exist?
Julian Robertson, at the age of 90, passed away in his New York residence on August 23, 2022. Robertson devoted a significant portion of his post-retirement years to becoming an active philanthropist, contributing over $1 billion to philanthropic funds.
Which Tiger Cubs were they?
At Julian Robertson’s Tiger Management Fund, “tiger cubs” refers to the young hedge fund managers employed there. After leaving Tiger Management, where they had received training from Robertson, several of them became prosperous hedge fund managers.
The Final Word
In the 1980s and 1990s, former hedge fund manager Julian Robertson established Tiger Management, a very prosperous hedge fund. Prior to its closure in 2000, the firm was among the most well-known hedge funds of its period. Robertson had a reputation for being a shrewd businessman, giving generously to charitable causes, and coaching aspiring hedge fund operators.
Conclusion
- In the 1980s and 1990s, Julian Robertson was a well-known hedge fund manager.
- In order to capitalize on the difference in performance between his selections of the best and worst equities, Robertson used a long-short approach.
- For a year, Julian Robertson resided in New Zealand.
- While on his year-long sabbatical, he came up with the concept for Tiger Management.
- A large number of Robertson’s employees who worked under him later achieved success as hedge fund managers.
