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What is a hedge fund manager and how to become one

Updated January 8, 2025
3 min read

A hedge fund is collected by an individual or firm from other individuals with high net worth for investments with high returns. In essence, a hedge fund manager is someone or a firm that manages, chooses investment options, and oversees the use of a hedge fund. They establishe a hedge fund with the help of analysts and portfolio managers. To succeed as a hedge fund manager, you must have an investment strategy, adequate capital, risk management strategies, and a plan to market and sell your services. A hedge fund manager must also have a competitive edge.

The hedge fund manager works extensively to monitor the funds in his/her capacity. However, as risky as it is, it is extremely lucrative. An entry-level manager can make up to $3 million annually, while an experienced manager can earn as much as $10 million yearly.

ScoreHedge Fund ManagerUS Average
Salary
8.5

Avg. Salary $135,399

Avg. Salary $59,228

Stability level
8.0

Growth rate 10%

Growth rate 0.3%

Diversity
3.4
Race

American Indian and Alaska Native 0.66%

Asian 9.00%

Black or African American 7.64%

Hispanic or Latino 12.82%

Unknown 4.70%

White 65.17%

Gender

female 25.77%

male 74.23%

Age - 47
Race

American Indian and Alaska Native 3.00%

Asian 7.00%

Black or African American 14.00%

Hispanic or Latino 19.00%

White 57.00%

Gender

female 47.00%

male 53.00%

Age - 47
Stress level
8.0

Stress level is high

7.1 - high

Complexity level
9.5

Complexity level is advanced

7 - challenging

Work life balance
4.5

Work life balance is fair

6.4 - fair

Hedge fund manager career paths

Key steps to become a hedge fund manager

  1. Explore hedge fund manager education requirements

    Most common hedge fund manager degrees

    Bachelor's

    74.4 %

    Master's

    16.4 %

    Associate

    4.1 %
  2. Start to develop specific hedge fund manager skills

    SkillsPercentages
    Hedge Funds20.65%
    Derivative16.38%
    Private Equity14.75%
    Equities8.79%
    Swaps8.43%
  3. Complete relevant hedge fund manager training and internships

    Accountants spend an average of 6-12 months on post-employment, on-the-job training. New hedge fund managers learn the skills and techniques required for their job and employer during this time. The chart below shows how long it takes to gain competency as a hedge fund manager based on U.S. Bureau of Labor Statistics data and data from real hedge fund manager resumes.
  4. Research hedge fund manager duties and responsibilities

    • Manage derivative credit risk for transactions with mutual and pension funds.
    • Manage a portfolio of equities and options within the technology and energy sectors.
    • Manage short term interest rate risk management utilizing basis swaps to modify portfolio duration.
    • Perform month-end closings including calculations of final NAV, performance and partner allocations.
  5. Prepare your hedge fund manager resume

    When your background is strong enough, you can start writing your hedge fund manager resume.

    You can use Zippia's AI resume builder to make the resume writing process easier while also making sure that you include key information that hiring managers expect to see on a hedge fund manager resume. You'll find resume tips and examples of skills, responsibilities, and summaries, all provided by Zippi, your career sidekick.

    Choose from 10+ customizable hedge fund manager resume templates

    Build a professional hedge fund manager resume in minutes. Browse through our resume examples to identify the best way to word your resume. Then choose from 10+ resume templates to create your hedge fund manager resume.
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
    Hedge Fund Manager Resume
  6. Apply for hedge fund manager jobs

    Now it's time to start searching for a hedge fund manager job. Consider the tips below for a successful job search:

    1. Browse job boards for relevant postings
    2. Consult your professional network
    3. Reach out to companies you're interested in working for directly
    4. Watch out for job scams

How did you land your first hedge fund manager job

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Average hedge fund manager salary

The average hedge fund manager salary in the United States is $135,399 per year or $65 per hour. Hedge fund manager salaries range between $70,000 and $261,000 per year.

Average hedge fund manager salary
$135,399 Yearly
$65.10 hourly

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Updated January 8, 2025

Zippia Research Team
Zippia Team

Editorial Staff

The Zippia Research Team has spent countless hours reviewing resumes, job postings, and government data to determine what goes into getting a job in each phase of life. Professional writers and data scientists comprise the Zippia Research Team.

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