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Marshall Wace

British hedge fund From Wikipedia, the free encyclopedia

Marshall Wace
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Marshall Wace LLP is a British hedge fund headquartered in London, England, founded by Paul Marshall and Ian Wace in 1997.[7] Marshall serves as chairman and chief investment officer, and Wace as a chief executive officer & chief risk officer.[8] The company is recognised as one of the world's largest hedge fund managers.[9][10]

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History

Before starting the fund, Paul Marshall was Head of European Equities at Mercury Asset Management, whilst Ian Wace was Head of Equities Trading at Deutsche Bank.[11] In 1997, Marshall and Wace launched Marshall Wace; they were managing $50 million — $25 million from George Soros and $25 million sourced via family and friends.[12]

In August 2014, Marshall Wace made $36 million from going short on the collapse of the Portuguese bank Banco Espírito Santo.[13]

In 2015 Kohlberg Kravis Roberts agreed to buy a 24.9 percent stake in Marshall Wace.[1]

In 2020, Marshall Wace announced its plans to raise $1 billion for a new green hedge fund which will depend on the environmental and ethical attributes for trading stocks.[14]

In December 2023, the company reported revenues of £1.2 billion in the year ending February 2023, down from £1.5 billion on the previous year.[15] Profits amounted to £538 million which was shared between 26 partners of the company.[15]

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Operations

Marshall Wace manages several long-short equity funds.[16]

The firm manages more than $64 billion as of January 2022 and operates from fund management offices in London, New York, Hong Kong, Shanghai, and Singapore.[17] The head office in London is situated on Sloane Street.[18]

The company is a founding member of the Hedge Fund Standards Board (HFSB)[19] and a member of the Alternative Investment Management Association (AIMA).[20]

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Products

Marshall Wace runs a proprietary alpha capture system TOPS (Trade Optimised Portfolio System), which polls the investment ideas of equity sell-side practitioners (generalists, sector specialists, strategists, and economists) around the world and uses algorithms to analyse and optimise this information into liquid equity portfolios.[21] The company's funds include UCITS-compliant vehicles.[22]

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References

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