Citadel Cuts 45 People as Gutting of Aptigon Stock Unit Deepens Ken Griffin’s giant hedge fund has pushed out 45 people from its Aptigon Capital stock unit, or about a third of its staff, in one of the biggest shakeups at the hedge fund in recent years, according to people familiar with the matter. Griffin has been concerned about the direction of the unit, which has failed to make money since last year, the people said.
It seems like humans are being treated like stocks here. Cut your losses quick. I feel humans should be given more chance and treated with more respect than stocks. It takes time for humans to show their true performance. Furthermore, there is always this principle "Do not do unto others what you do not want others to do unto you". I wonder how Citadel will feel if their investors treat them like they treat their employees. Take back all my money if you underperform for 1 year.
Griffin has been known to cut people who made good money if he thought their five-year plan wasn't good enough.
That’s how hedge funds work and why successful PMs are paid so well. If you don’t like it work somewhere else where people are nicer and your pay will be less. Having worked in both I personally prefer the latter environment.
So Citadel's investors treat them exactly like they treat their employees, you don't perform they take their funds out absent a lockup period. That's the world of finance. You get paid absurd salaries in part because you don't know how long you'll be getting them. And the best performers prefer this to getting smaller salaries and being treated more like humans, so I have no doubt Ken truly believes he's treating his employees exactly as he would want and expect to be treated. As @newwurldmn said, I also prefer the latter and that whole outlook is anathema to how I run my business. But I also recognize that different people are motivated differently, and if it works for them then more power to em. I have benefited from hiring a couple of the brighter i-banking types who saw the light and bailed out of their industry that I probably couldn't have snagged otherwise, so in a way I benefit from the finance industry's shitty work environment.