Michael Steinhardt

Definition of 'Michael Steinhardt'


Michael Steinhardt was among the first of the hedge fund managers. He founded his own hedge fund in 1967, Steinhardt, Fine, Berkowitz & Co., which provided net returns of nearly 25% per year after fees, tripling the performance of the S&P 500 over the same time interval. Michael is also an avid collector of art, as well as a philanthropist and political activist. He currently acts as chairman for WisdomTree Investments.

Investopedia explains 'Michael Steinhardt'


Michael was born in 1940 in Brooklyn, New York. He worked as a financial analyst, where he learned about conglomerate business practices. His hedge fund was forced to repay $70 million dollars as a penalty for the alleged manipulation of treasury security positions in the early 1990s, on which the firm made approximately $600 million.


Filed Under:

comments powered by Disqus
Hot Definitions
  1. Takeover

    A corporate action where an acquiring company makes a bid for an acquiree. If the target company is publicly traded, the acquiring company will make an offer for the outstanding shares.
  2. Harvest Strategy

    A strategy in which investment in a particular line of business is reduced or eliminated because the revenue brought in by additional investment would not warrant the expense. A harvest strategy is employed when a line of business is considered to be a cash cow, meaning that the brand is mature and is unlikely to grow if more investment is added.
  3. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will be executed at a specified price (or better) after a given stop price has been reached. Once the stop price is reached, the stop-limit order becomes a limit order to buy (or sell) at the limit price or better.
  4. Pareto Principle

    A principle, named after economist Vilfredo Pareto, that specifies an unequal relationship between inputs and outputs. The principle states that, for many phenomena, 20% of invested input is responsible for 80% of the results obtained. Put another way, 80% of consequences stem from 20% of the causes.
  5. Pareto Principle

    A principle, named after economist Vilfredo Pareto, that specifies an unequal relationship between inputs and outputs. The principle states that, for many phenomena, 20% of invested input is responsible for 80% of the results obtained. Put another way, 80% of consequences stem from 20% of the causes.
  6. Budget Deficit

    A status of financial health in which expenditures exceed revenue. The term "budget deficit" is most commonly used to refer to government spending rather than business or individual spending. When referring to accrued federal government deficits, the term "national debt” is used.
Trading Center