What Is the Tiger Scandal?
The Tiger scandal refers to a major financial controversy involving Tiger Management and its founder, Julian Robertson. The firm was once one of the most successful hedge funds, but its collapse in 2000 triggered a wave of losses across the industry and raised questions about risk management and concentrated bets.
Key Events and Impact
Tiger Management closed its fund after heavy losses in technology and growth stocks. Former employees, known as "Tiger Cubs," went on to launch their own funds, amplifying the scandal's reach. The episode highlighted the dangers of overconcentration and the speed at which investor confidence can evaporate.
What Happened Next
Regulators and analysts studied the Tiger scandal to understand how a dominant fund could unwind so rapidly. The case is often cited in discussions about hedge fund risk, leverage, and the importance of diversification. For more context on the fund's history and legacy, see the Britannica entry on Julian Robertson.
