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Senator Investment Group Review

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This review was produced by SmartAsset based on publicly available information. The named firm and its financial professionals have not reviewed, approved, or endorsed this review and are not responsible for its accuracy. Review content is produced by SmartAsset independently of any business relationships that might exist between SmartAsset and the named firm and its financial professionals, and firms and financial professionals having business relationships with SmartAsset receive no special treatment or consideration in SmartAsset’s reviews. This page contains links to SmartAsset’s financial advisor matching tool, which may or may not match you with the firm mentioned in this review or its financial professionals.

Senator Investment Group, LP is a large hedge fund with almost $10 billion in assets under management (AUM) spread across nine different funds, also known as pooled investment vehicles. The firm has 15 financial advisory professionals, though it also employs others to help with different aspects of its day-to-day management. Even with such a large AUM, Senator Investment Group manages relatively few hedge funds. The firm does, however, manage other special-purpose investment accounts for certain clients as well.

Not everyone can invest in a hedge fund, given that they're limited to accredited investors. If you're unsure whether you qualify, or you want to mimic a hedge fund's strategy, you may want to work with a financial advisor.

Senator Investment Group Background

Senator Investment Group was founded in 2008. Douglas Silverman and Alexander Klabin are the indirect majority owners of the firm. In 2020, Klabin stepped down from his management role at the firm, though.

As a result, the firm decided that Silverman and others would gradually begin to take over Klabin's duties at the firm, while Klabin would still hold certain economic interests in the investment group. Among other moves, Jay Bharadwa now serves as co-chief investment officer (CIO) of Senator. The firm has just one office located on Madison Avenue in New York City.

Senator Investment Group Investment Philosophy

Senator Investment Group has nine different funds, many of which are managed according to different principles, strategies, and philosophies, and are made up of different kinds of investments. For example, the firm's Opportunity Fund seeks to invest opportunistically, over both the long and short term, while investing specifically in distressed debt, value and event equities and special situations.

On the whole, Senator invests across a wide range of markets and different investments. These investments may include bank debt, corporate bonds, equities, preferred stock, convertible securities, trade claims, credit default swaps, options and derivative instruments. The firm may also invest in private equity funds or other potentially illiquid investments. Senator uses a very analytical framework when deciding how to invest.

Largest Hedge Funds Managed by Senator Investment Group

Senator Global Opportunity Master Fund LP

  • AUM: $9,177,377,170
  • Minimum: $1,000,000
  • Beneficial Owners: 195

Senator Focused Strategies LP

  • AUM: $395,287,213
  • Minimum: $5,000,000
  • Beneficial Owners: 3

SIG Nassau Hall LP

  • AUM: $25,122,225
  • Minimum: $1,000,000
  • Beneficial Owners: 2

Fees at Senator Investment Group

Senator Investment Group earns money from managing various funds and accounts. One such income stream comes from management fees. These management fees vary based on the account or fund but tend to range from 0.9% to 1.5% of the value of the entire fund annually. Management fees are typically paid quarterly and in advance.

The firm also earns performance-based fees from its funds. These fees are typically far higher, equal to 15.75% - 25% of the appreciated value of the fund.

What to Watch Out For

Senator Investment Group does not have any legal or regulatory disclosures listed on its Form ADV.

It's important to remember that only accredited investors can invest in hedge funds. To be considered an accredited investor, you must have at least $200,000 of earned income ($300,000 for couples) over the course of the past two years, plus a reasonable assumption that that same trend will continue for the current year. You can also become an accredited investor by having at least a $1 million net worth (minus the value of your primary residence) either on your own or with a spouse.

Becoming a Client of Senator Investment Group

As noted before, only accredited investors can work with hedge funds like the ones Senator Investment Group manages. If you meet the requirements to invest and want to work with the firm, you should get in touch directly. You can reach the firm by phone or by visiting its New York office. You can also go to the firm's website and submit a contact form.

All information is accurate as of the writing of this article.

Investing Tips

  • When you're investing, it pays to have someone, like a financial advisor, in your corner who can help you figure things out. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
  • Investing isn't always easy, so it's best to have lots of tools at your disposal to help you make the right decisions. SmartAsset has lots of free online investing resources, such as our investment calculator, that can help you keep your portfolio on the right track.

How Long $1mm Lasts in Retirement

SmartAsset's interactive map highlights places where $1 million will last the longest in retirement. Zoom between states and the national map to see the top spots in each region. Also, scroll over any city to learn about the cost of living in retirement for that location.

Rank City Housing Expenses Food Expenses Healthcare Expenses Utilities Expenses Transportation Expenses

Methodology We analyzed data on average expenditures for seniors, cost of living and investment returns to determine how many years of retirement a $1 million nest egg would cover in cities across America.

First, we looked at data from the Bureau of Labor Statistics (BLS) on the average annual expenditures of seniors. We then applied cost of living data from the Council for Community and Economic Research to adjust those national average spending levels based on the costs of each expense category (housing, food, healthcare, utilities, transportation and other) in each city. Using this data, SmartAsset calculated the average cost of living for retirees in the largest U.S. cities.

We assumed the $1 million would grow at a real return (interest minus inflation) of 2%. Then, we divided $1 million by the sum of each of those annual numbers to determine how long $1 million would cover retirement expenses in each of the cities in our study. Cities where $1 million lasted the longest ranked the highest in the study.

Sources: Bureau of Labor Statistics (BLS), Council for Community and Economic Research