The 4 Traits of Successful Fund Managers

What’s up, everyone? Today, we’re going to discuss the 4 traits of successful fund managers!

Cathie Wood

Click here to check out my YouTube video!

Over the past few years, I’ve worked with hundreds of fund managers. I’ve noticed which traits make or break a good fund manager. Here’s what I’ve observed…

#1 – Successful Fund Managers Know How to Make Money

“If you can take $1 and turn it into $2, you can be successful.”

Lincoln Archibald

What made Cathie Wood successful? The fact that her investors gained 142% in returns!

Step 1 to success is making that turnaround happen!

#2 – Successful Fund Managers Put Their Investors First

“If you’re more concerned about making money for yourself rather than your investors, you should probably stop pursuing your goal as a fund manager.”

Lincoln Archibald

Stop thinking about ways to penny and dime your investors, help them!

Don’t charge high fees on your funds, especially your first ones.

#3 – Successful Fund Managers Align Their Interests with the LPs

“Considering all the investments you have; your largest allocations should be in your own funds.”

Barry Sternlicht said that he invests most of his money into his own funds because putting his funds anywhere else would be unfair to his LPs. That’s the type of mindset you need to have!

In 2020, 14 of the 15 top hedge fund managers made more money from their own dollars invested in their own funds than they did from other management and performance fees!

In other words, it pays to be all in!

#4 – Successful Fund Managers Start Small Then Go Big

Just like starting up a business, starting a small fund requires proper planning and good forecasting; you can’t stretch yourself too thin.

However, successful fund managers also go BIG.

Have a vision. Believe that you will succeed. Start off small but successfully, then watch your rewards roll in.


Just to review, these are core traits that you need to develop if you want to be a successful fund manager

  • Know how to make money
  • Put your investors first
  • Align your interests with your LPs
  • Start small then go big

That’s it for today!

Thanks, and see you soon!

Bridger Pennington

Want to get direct guidance for your fund? Schedule a time with my Fund Advisors!

DISCLAIMER: This content is for educational and informational purposes only. It is not to be taken as tax, financial, or legal advice. You should always consult a legal professional before taking action. Furthermore, this is not a recommendation to buy or sell any security. The content is solely just the opinion of the authors.

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