The Greatest Active Manager Ever

“How a Mathematician Became the Greatest Trader of All Time,” Jim Simons, the founder of Renaissance Technologies and its successful Medallion hedge fund, is profiled. Simons, a mathematician and code-breaker, took a scientific approach to investing, using vast data sets, computer models, and algorithms. His strategies, which challenged traditional intuition-based investing, led to average annual returns of 66% for 30 years, turning $100 into $398.7 million today. Despite early challenges and personnel changes, Renaissance continued to improve its algorithms and recruit skilled mathematicians, culminating in a successful automated stock trading system in the mid-1990s. Despite being a private hedge fund, Renaissance’s success earned it the nickname “Renaissance Riviera” and has influenced Wall Street to invest in technology and AI for competition.