Julian Robertson was a pioneering American investor whose visionary leadership and investment acumen cemented his place in history as one of the most influential hedge fund managers of his generation. He founded Tiger Management in 1980, which grew to become an iconic hedge fund.
Robertson closed Tiger Management in 2000, shifting his focus to mentoring the next generation of hedge fund managers and dedicating himself to impactful philanthropic ventures in higher education and medical research.
Key Takeaways
- Julian Robertson: A renowned hedge fund manager in the 1980s and 1990s.
- Long-Short Strategy: Achieved success through a strategy profiting from performance discrepancies between the best and worst stocks.
- Sabbatical in New Zealand: Conceived the idea for Tiger Management during a year-long break.
- The Tiger Cub Legacy: Many of Robertson’s proteges became successful hedge fund managers themselves.
Early Life and Education
Julian Robertson was born in Salisbury, North Carolina, on June 25, 1932. He was the son of Julian Hart Robertson Sr., a textile company executive, and homemaker Blanche Spenser Robertson. Robertson graduated from Episcopal High School and subsequently attended the University of North Carolina, graduating in 1955.
After serving two years in the Navy, Robertson started his financial career as a retail broker at Kidder, Peabody & Co. in 1957. Rising through the ranks, he eventually managed their asset management division, Webster Securities. In 1979, Robertson took a year-long sabbatical in New Zealand, where he crystallized his vision for a new kind of investment fund.
Notable Accomplishments
Inspired by his time in New Zealand, Robertson established Tiger Management in 1980 with an initial seed capital of approximately $8 million. His fund’s phenomenal growth to $22 billion in assets by the late 1990s showcased his strategic prowess, including the innovative long-short strategy to capitalize on market discrepancies.
During the dot-com boom, Robertson’s decision to avoid tech investments initially brought challenges, but ultimately protected his fund during the tech bubble burst. Following some high-profile investment missteps like US Airways, Robertson chose to liquidate Tiger Management in 2000. His commitment to rational valuation fell out of favor in the irrational exuberance of the internet stock era.
Despite closing Tiger Management, Robertson’s mentorship created lasting impact through the ‘Tiger Cubs’ – notable fund managers who trained under Robertson. This influential group includes John Griffin of Blue Ridge Capital, Ole Andreas Halvorsen of Viking Global, and Chase Coleman of Tiger Global Management.
Wealth and Philanthropy
Post-retirement, Robertson made an indelible mark through his philanthropy. He founded scholarships and significantly supported initiatives in environmental protection, charter schools, and medical research, donating over $1.3 billion. In recognition of his charitable impact, Robertson committed to The Giving Pledge alongside other altruistic Beacon figures.
Robertson also channeled his efforts into supporting his alma mater and investing in luxury lodges in New Zealand. By the time of his death on August 23, 2022, at the age of 90, Robertson’s legacy as a force for good extended well beyond his investment genius.
Who Is the Wizard of Wall Street?
Julian Robertson earned this moniker owing to his exceptional skill in hedge fund management and investment strategies that defined an era in financial history.
Is Julian Robertson Alive?
Julian Robertson passed away on August 23, 2022, at the age of 90, leaving behind a storied legacy in finance and philanthropy, admired for his generous contributions totaling over $1 billion to various causes.
Who Were the Tiger Cubs?
‘Tiger Cubs’ refers to the talented hedge fund managers mentored by Julian Robertson at Tiger Management. These protégés saw significant success in the finance world, continuing the principles imparted by Robertson.
Bottom Line
Julian Robertson was a transformative figure in the hedge fund industry, founding the celebrated Tiger Management and mentoring a generation of influential investors. His deep insight and commitment to philanthropy continued making a profound impact until his passing, truly embodying the spirit of the ‘Wizard of Wall Street.’
Related Terms: hedge funds, global macro strategy, long-short strategy, investment acumen, Tiger Cubs.
References
- Daniel A. Strachman. Julian Robertson: A Tiger in the Land of Bulls and Bears, Page 173. Wiley, 2004.
- Value Walk. “Julian Robertson Jr. Resource Page”.
- Forbes. “Julian Robertson, Jr.”.
- Daniel A. Strachman. Julian Robertson: A Tiger in the Land of Bulls and Bears, Pages 16, 25, 41, and 44. Wiley, 2004.
- The New York Times. “Investing Diary: Left Holding the Bag on U.S. Airways Stock”.
- Los Angeles Times. “U.S. Air Files for Chap. 11 Again”.
- Daniel A. Strachman. Julian Robertson: A Tiger in the Land of Bulls and Bears, Page 179. Wiley, 2004.
- ValueWalk. “Archives: Julian Robertson Closing Letter to Investors”.
- Forbes. “Andreas Halvorsen”.
- Tiger Global Management. “Chase Coleman”.
- Forbes. “Stephen Mandel, Jr”.
- Bloomberg. “Tiger Cubs, the Next Generation: Meet Chase Coleman’s Proteges”.
- Robertson Scholars. “Our Benefactors”. .
- Robertson Lodges. “The Story”.
- Forbes. “Julian Robertson, Jr”.
