Numerai is an
AI-run, crowd-sourced
hedge fund
A hedge fund is a Pooling (resource management), pooled investment fund that holds Market liquidity, liquid assets and that makes use of complex trader (finance), trading and risk management techniques to aim to improve investment performance and ...
based in San Francisco.
It was founded by South African technologist Richard Craib
in October 2015.
Numerai’s trades are determined by an AI, which is fueled by a network of thousands of anonymous data scientists. The provided time-series data is also cleaned and regularized, which comprises millions of samples and 1191 features that has evolved since their inception. The task is to predict the probability of a given sample yielding positive returns.
Numerai's investors include
Paul Tudor Jones
Paul Tudor Jones II (born September 28, 1954) is an American billionaire hedge fund manager, conservationist and philanthropist. In 1980, he founded his hedge fund, Tudor Investment Corporation, an asset management firm headquartered in Stamfo ...
,
Naval Ravikant
Naval Ravikant (born November 5, 1974) is an Indian-born American entrepreneur and investor. He is the co-founder, chairman and former Chief Executive Officer (CEO) of AngelList. He has invested early-stage in Uber, FourSquare, Twitter, Postma ...
, and
Howard Morgan of
Renaissance Technologies
Renaissance Technologies LLC (also known as RenTec or RenTech) is an American hedge fund based in East Setauket, New York, on Long Island, that specializes in systematic trading using quantitative models derived from mathematical and statist ...
.
In terms of performance, Numerai's hedge fund has achieved positive returns since its inception. According to most recent Bloomberg report,
Numerai had received $100 million in inflows in 2022 and returned 20% to investors despite a market downturn that saw the value of several cryptocurrencies erode by more than 90%.
References
Hedge fund firms in California
Cryptocurrency companies
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