Coatue Management, LLC is an investment management firm with more than $47 billion in assets under management (AUM). It currently manages a total of 39 pooled investment vehicles, 10 of which are hedge funds. The firm currently employs 61 advisors.
It's important to understand that hedge funds are often complex, loosely regulated investments and therefore only 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.
Coatue Management Background
Coatue Management, LLC is a Delaware limited liability company founded in December 1999. Its founder is Philippe P. Laffont.
The sole owner of the firm is Coatue Management Partners LP. Coatue Management Partners GP LLC is a limited liability company that serves as general partner to this LP. Laffont is the principal owner of both this LP and LLC; additionally, he serves as the managing member of Coatue Managament Partners GP LLC.
The firm provides investment advisory services on a discretionary basis. Clients include U.S. and non-U.S. private investment funds. Services are not provided to individual investors in the funds.
The firm manages a variety of funds and affiliated funds (each of which were founded at various times ranging from 2013 to present). They include the Coatue Flagship Funds, Coatue Hybrid Funds, Coatue Long Only Funds, Coatue Private Funds II, Kona III, Coatue Early Stage Fund LP, Growth Fund IV and more.
The funds themselves are not subject to any requirements for opening or maintaining an account. Investors in the funds, however, must meet certain suitability requirements as per the fund's offering documents. The firm has the sole discretion to set or waive any minimum account requirements.
Coatue Management Investment Philosophy
The firm focuses primarily on particular sectors, including the following:
- global tech, media, telecommunications and some healthcare and conusmer sectors
- companies in the mobile internet, fintech, software, cloud computing, machine learning, artificial intelligence, disruptive transportation, logistics and infrastructure, mobile gaming, user-generated content
- aspects of the sharing economy and Chinese and Indian internet sectors
Coatue Management's investment strategy is primarily based on fundamental research and a long-term investment horizon. The firm may, however, make short-term opportunistic investments as it sees fit.
The firm's research process identifies investments through its own fundamental financial analysis process that includes interviews, information from technical experts, trend analyses and more. Additionally, the firm may also base investing decisions for certain client assets on quantitative analysis or a combination of fundamental and quantitative analysis.
Of course, all current and potential clients should be aware that no investment strategy can guarantee against risk of loss.
Largest Hedge Funds Managed by Coatue Management
Coatue Offshore Master Fund LP
- AUM: $21,937,261,200
- Minimum: $5 million
- Beneficial Owners: 1,868
Coatue Offshore Fund, Ltd.
- AUM: $7,529,003,175
- Minimum: $5 million
- Beneficial Owners: 931
Coatue Qualified Partners, LP
- AUM: $6,260,814,103
- Minimum: $5 million
- Beneficial Owners: 928
Coatue Long Only Offshore Master Fund Ltd.
- AUM: $5,390,273,870
- Minimum: $5 million
- Beneficial Owners: 165
Coatue Long Only Partners LP
- AUM: $1,995,694,074
- Minimum: $5 million
- Beneficial Owners: 97
Fees at Coatue Management
Fees at Coatue Management include a fixed fee that ranges from 0-2.5% per year and is calculated based on AUM, a percentage of invested capital, a percentage of committed capital, the cost basis of private investments, and otherwise specified in the governing documents.
There may also be performance-based fees, based on a share of realized or unrealized net profits or capital appreciation (increase in value) of assets. This ranges from 10-33% of said figure, and will be specified in the fund's governing documents.
The two fees described above are non-negotiable. However, the firm may at its sole discretion waive, reduce or modify such fees for members and certain affiliates of Coatue Management.
Beyond this, other additional fees and expenses may apply - including but not limited to registration fees, maintenance fees, certain taxes and regulatory expenses - so it is imperative that potential and existing clients read the offering documents carefully and reach out about specific fees charged to their fund.
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. Such 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, Coatue Management has not undergone any disciplinary or legal action deemed material to a client’s evaluation of its business integrity. That said, 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 Coatue Management
If you are an accredited investor and wish to become a client of Coatue Management, you can visit the firm's website or call (212) 715-5100.
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