Rising stars in the hedge fund industry are now considering factors beyond financial compensation as they strategise their career paths, according to Ilana Weinstein, Founder and CEO of the IDW Group, which calls itself a “leading boutique for hedge fund managers”, who spoke recently on Bloomberg Television. 

Weinstein described hedge fund professionals who have spent a year or two of guaranteed compensation in a new role, after which “you’re out and you’re on your own, so to speak, and you need to put up the goods”.

She said what followed was a shift in focus, when “the question becomes: Are you really set up for success, how do you develop, and what are the resources the firm has to get you there?”

Weinstein said that applicants for high-level hedge fund jobs were asking themselves: “Will I be better by virtue of making this move, developmentally — will I be the best version of myself?” and “...Is there more opportunity at this place that I’m going to, relative to where I’m at?”

Multi-strat funds have seen better gains in Q1 2024 compared to the same period in 2023, while equity and quant funds have also seen boosted returns, though Weinstein said that this follows years of difficulties, adding that hedge fund professionals want to see more consistent performance ahead of big jumps.