Balyasny Asset Management (also known as BAM) is an investment management firm with more than $118 billion in assets under management (AUM). It currently employs 250 advisors and manages a total of 17 funds - or pooled investment vehicles - with 10 hedge funds as well as seven other private funds.
It's important to understand that hedge funds are often complex, loosely regulated investments and therefore accessible to accredited investors. If you're looking for trusted and comprehensive support in managing your own finances, consider speaking to a professional financial advisor.
Balyasny Asset Management Background
BAM was founded in 2001 as Balyasny Capital Management, LLC. In 2003, it converted from a limited liability corporation to a limited partnership and in 2004 the name was changed to its current form. The firm's principal office and place of business is in Chicago. Other U.S. offices are located in New York, San Francisco, Boston, Greenwich and Austin. Offices outside the U.S. are located in Hong Kong, Tokyo, London and Singapore.
Dmitry Balyasny founded in the firm and still owns more than 75%. He is the only principal owner.
The firm provides investment advisory services to high-net-worth individuals and institutional clients through privately offered pooled investment funds. The investors in those Funds include but are not limited to high-net-worth individuals, family offices, other private investment funds, funds of funds, investment companies, trusts, estates, U.S. and non-U.S. institutions, charitable institutions, sovereign wealth funds, foundations, endowments, municipalities, corporate pensions and profit-sharing plans as well as other institutional clients. Minimum investments vary by fund.
Balyasny Asset Management Investment Philosophy
The funds offered by Balyasny are all multi-strategy investment funds. There are five primary strategies used: fundamental long/short equity, equity trading, quantitative systemic strategies, global macro (including commodities and futures-based strategies) and credit. Market sectors used within the equities strategies include energy, healthcare, financial/insurance, industrial, technology, media, telecommunications, consumer staples, consumer discretionary and merger arbitrage/events.
The primary sources of information that the firm uses include but are not limited to fundamental proprietary research and analysis developed by BAM, research reports and materials prepared by broker-dealers, financial newspapers and magazines, annual reports published by publicly listed companies as well as SEC and other regulatory filings.
Largest Hedge Funds Managed by Balyasny Asset Management
Atlas Macro Master Fund, Ltd.
- AUM: $88,713,212,148
- Minimum: $0
- Beneficial Owners: 2
Atlas Enhanced Master Fund, Ltd.
- AUM: $26,235,471,762
- Minimum: $5 million
- Beneficial Owners: 1,827
Atlas Master Fund, Ltd.
- AUM: $4,361,486,077
- Minimum: $5 million
- Beneficial Owners: 236
Atlas Singapore Master Fund Pte. Ltd.
- AUM: $645,177,909
- Minimum: $0
- Beneficial Owners: 2
Atlas Private Holdings, LLC
- AUM: $63,950,821
- Minimum: $25 million
- Beneficial Owners: 3
Fees at Balyasny Asset Management
Fees at BAM are charged by the firm to the fund, not to the clients directly. The Funds typically pay an annual management fee based on assets under management, payable monthly in advance or arrears. The Funds are also responsible for what's called an incentive allocation based on a percentage of the performance of the portfolio; percentages vary depending on the particular Fund and the terms associated with a specific class of shares that an investor holds.
In generally, fees for the funds are non-negotiable. Additionally, any performance-based fees are charged consistent with SEC rules and regulations. Information regarding actual fees charged to any specific Fund will be listed in the offering documents for that Fund. Additional fees and expenses may apply, so it is imperative that potential clients reach out about their particular situation.
What to Watch Out For
Again, it's important to understand that hedge funds are often complex, loosely regulated investments and therefore accessible only to accredited investors, who, along with sophisticated investors, are allowed by the SEC to buy securities like these. These two groups of investors differ from retail investors or individual investors, who might be taking a more DIY approach or enlisting the services of a financial advisor.
Within the past 10 years, Balyasny Asset Management has one U.S.-based disclosure listed on its record. In 2019, one of the firm's private funds made a late submission for the notice filing of its first sale of securities in New Hampshire. The matter was resolved with a $2,500 fine. Its second disclosure involves a late submission of a net short filing by Balyasny Europe Asset Management to a regulatory agency. This matter was resolved with a settlement amount of $15,416 paid in November 2020.
As an SEC-registered investment manager, the firm is legally obligated to uphold its fiduciary duty and work in clients’ best interests at all times. You can view its latest Form ADV on the official website of the Securities & Exchange Commission (SEC).
Becoming a Client of Balyasny Asset Management
If you are an accredited investor and wish to become a client of Balyasny Asset Management, you can visit its website or call (312) 499-2999.
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