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19. Lone Pine Capital/ $25.2 billion

Location:

Greenwich, CT

Founded:

1997

2016 Hedge Fund 100 Rank:

No. 13

2016 Capital:

$29 billion

2015 Hedge Fund 100 Rank:

No. 8

2015 Capital:

$29.1 billion

Years on List:

Website:

www.lonepinecapital.com

Address:

2 Greenwich Plaza
2nd Floor
Greenwich, CT 06830

Phone:

203-618-1400

Fax:

203-618-1346

Profile & News

Firm Overview

Greenwich, Connecticut-based Lone Pine Capital was founded by Stephen Mandel Jr., who made his name as a consumer analyst and managing director at Julian Robertson Jr.'s famed Tiger Management Corp. Mandel is one of the best known of the so-called Tiger Cubs. Like most of his former Tiger colleagues, Mandel focuses primarily on long-short, fundamentally driven investing. But he also has been an early pioneer among hedge fund managers running long-only funds alongside their hedged products.

Also like other Tiger Cubs, Mandel had a difficult 2016. The firm posted small losses in its long-short equity fund and only a slight gain in its long-only fund. As a result, Lone Pine slips to No. 19 on Alpha’s Hedge Fund 100 from No. 13 in 2016 and its record high No. 8 spot in 2015. The company made its biggest move on the Hedge Fund 100 in 2014, when it vaulted up $7 billion and 4 spots thanks to favorable stock picks in Internet and consumer stocks. That year the firm’s Lone Tamarack, a long-short equity fund investing in the most liquid stocks in the firm’s portfolios, made its debut. In 2015, Lone Cascade fell 1.2 percent, while Lone Cypress rose 8.7 percent, Lone Kauri gained 8.9 percent and Lone Tamarack gained 8.3 percent.

Over the years, Mandel has benefited handsomely from the historical success of his funds. He ranked No. 13 on Alpha’s 2016 Rich List, his most recent appearance on the main list, earning $275 million in 2015. In 2017 he made the Rich List second-team, with $50 million in earnings. Mandel has made the main Rich List eight times over the years, earning a combined $5 billion.

He is active outside the hedge fund industry as well, serving as a trustee for Teach for America, as chairman of Dartmouth College’s board of trustees and as the founder of the Lone Pine Foundation, an organization aiding child education and families in New York. Lone Pine Capital is named after a pine tree at Dartmouth that survived a lightning strike in 1887.

Funds and Fees Overview

Lone Cypress funds hold long-short positions in equities and fixed-income markets using over-the-counter and exchange-traded instruments.

Management Fee	1 percent of net assets per annum	Paid monthly in advance
Incentive Allocation	13 percent to 20 percent of profits

Lone Kauri funds invest in the equity of companies with minimum average daily trading volumes of $20 million at the time of initial investment.

Management Fee	1 percent of net assets per annum	Paid monthly in advance
Incentive Allocation	13 percent to 20 percent of profits

Lone Cascade funds hold long positions in the equity of issuers with minimum average daily trading volumes of $20 million at a time.

Management Fee	1 percent to 2 percent of net assets per annum	Paid monthly in advance
Incentive Allocation	10 percent to 20 percent of profits

Lone Tamarack funds invest primarily in stocks with at least $50 million in average daily trading volume.

Management Fee	1 percent of net assets per annum	Paid monthly in advance
Incentive Allocation	13 percent to 20 percent of profits

Lone Juniper fund is a fund of funds that invests in private investment partnerships and long-short equity investments.

Management Fee

1 percent of net assets per annum

Paid monthly in advance

Clients

Lone Pine Capital’s investors include high-net-worth individuals, trusts, endowments, corporations, fund of funds and charitable institutions, among others.

Regulatory Assets Under Management (RAUM)*
Discretionary	$33.16 billion (16 accounts)
Nondiscretionary	$0 (0 accounts)
Total	$33.16 billion (16 accounts)

Employees	100
Clients	11-25 total	50 percent non-U.S.
Fiscal Year Ends	December
All data as of December 31, 2016. *Regulatory Assets Under Management (RAUM) includes no deduction of offsetting liabilities, thus representing gross AUM, not net AUM. RAUM calculations include leverage, proprietary assets and uncalled capital commitments, among other items not required in the calculation of AUM.

Owners and Executives:

Name	Position	Position Held Since
Stephen Mandel Jr.	Founder, Managing Director	06/1997
Kerry Tyler	Managing Director, COO	08/1997
Mala Gaonkar	Managing Director	01/2003
Mary McDonnell	Managing Director, CFO	01/2006
David Craver	Managing Director	01/2008
Jeffrey Wechselblatt	General Counsel, CCO	07/2007
Brian Doherty	Managing Director, Head Trader	07/2011