Tiger Global, a major investor in speculative and high growth names, has lost around $17 billion this year, one of the worst on record for a hedge fund, FT reports.
The sustained losses in the year mean that Tiger has lost around two-thirds of its returns since the fund was launched in 2001.
With accelerated sell-off in the tech sector this year, Tiger’s losses have been heightened by an increase in interest rates which have hit speculative and tech sectors. The sectors saw high growth during the pandemic.
Dynamic Beta managing member Andrew Beer describes the losses by Tiger as breathtaking. He says the losses illustrated how even the most experienced investors fail to see declines ahead of time.
So Far, Tiger is reported to have lost 43.7% in the first four months of the year, which is higher than the 21% decline in the tech-heavy Nasdaq Composite.
Tiger Global manages around $90 billion in assets. NASDAQ-100 is up +0.48%, DJI is down -0.38%