"Hu Zai" Goel closes $11 billion hedge fund company due to health reasons, with Nvidia as the top holding
Julian Robertson's former subordinate and founder of the hedge fund company Matrix, David Goel, announced the closure of his $11 billion company due to health issues, returning funds to clients. Matrix focuses on technology stock investments, and despite suffering losses during the 2008 financial crisis, overall performance has been steady. Goel's investment strategy is concentrated in areas such as artificial intelligence and life sciences, with major holdings as of June 2024 including NVIDIA, Qualcomm, and TransDigm Group
David Goel, a former subordinate of hedge fund tycoon Julian Robertson, served as a technology research analyst at Tiger Management for three years before leaving in 1999 to establish Matrix Capital Management.
On Tuesday, August 20th, Eastern Time, media reports indicated that Goel has decided to shut down the $11 billion firm and return funds to clients.
According to sources familiar with the matter, Goel explained in a letter to clients that due to health issues, he has decided to close the company and return client funds. However, he did not disclose the specific health issues.
Founded jointly by Goel and Paul Ferri in 1999, Matrix Capital Management sees Goel as the co-founder and primary owner, with ultimate decision-making authority over all investment decisions and business affairs. Compared to other successors of "Tiger Management" (hedge fund managers trained under Tiger Management founder Robertson), Matrix has had lower public exposure.
Headquartered in Massachusetts, Matrix focuses on stock investments in the technology sector and operates a private equity fund. Despite experiencing four years of losses, including during the 2008 financial crisis, since its inception, Matrix's hedge fund has achieved steady double-digit growth overall, with the most severe being a 39.5% loss in 2008.
Goel's investment strategy centers around areas such as artificial intelligence, life science digitization, semiconductors, generative AI, and machine learning. As of June 30, 2024, the company's largest holdings include NVIDIA, Qualcomm, and TransDigm Group.
In addition to his achievements in the investment field, Goel is also known for his philanthropic endeavors. In 2019, he and his wife Stacy L. Goel donated $100 million to Harvard University to establish the David E. and Stacy L. Goel Center for Creativity and Performance