Louis Moore Bacon Has a Bit of Reputation for Being Risk-Conscious and Reserved.

As a hedge fund manager these traits are not unusual, but what made Mr Bacon put his guard up?  The industry he works in is notoriously tough, not to mention stressful, but even by hedge fund manager standards, Mr Bacon is tough to read.  There is a good reason for this though; being successful has come at a price for Louis Bacon, it wasn't easy.

Initially studying American Literature at Middlebury College, VT, Bacon met Walter Frank, an NYSE trader for more than 6 decades and founder of Walter N. Frank & Co.  After working as a clerk for couple of summers Bacon decided that he wanted to be a trader.  It was then that he switched studies and concentrated on getting his MBA from Columbia Business School.  He took out a loan to pay for his school fees and living expenses during the time, however he decided to trade with that money and ended up making a lot for the first 3 terms.  His parents lent him some money to pay for necessities, but by the end of the fourth term Bacon's investments had started to turn a profit.

With an MBA under his belt Louis Bacon enrolled into the sales and trading program at Bankers Trust.  A year of experience later and he was ready to work for Walter Frank again.  Mentored by successful commodity trader Philip Hehmeyer, Bacon learned all about trading currencies.  Although he lost some of the money he'd been allocated, he was making progress and finding his way on the traders floor.  In the summer of 1982 Bacon witnessed first hand how brutal his industry was when Philip Hehmeyer committed suicide following a bad day of trading in which he reportedly lost his entire net worth through just one mistake.  The death of his mentor had a profound effect on Louis Bacon, he understood the dangers of reckless trading and the stress that accompanies the job.

After his time at Walter N. Frank & Co. Bacon became a futures broker at Shearson Lehman Brothers, where he went on to become Senior Vice President.  In 1985 he tried managing money for Commodities Corp, but lost 1/3 of the trade amount he was allocated.   Despite these losses Bacon was undeterred, learning from his past mistakes and moving onto the next opportunity.  In 1986 he created Remington Trading Partners and ended up profiting after the market crash in 1987.  It was around this time he made friends with fellow trader Paul Tudor Jones.

In 1989 his luck changed.  Using $25,000 he inherited from his mother Bacon set-up Moore Global Investments (named after his mother's maiden name).  Tudor Jones started recommending his friend's fund to potential investors after he ceased to accept new investors himself.  During 1990 Moore Capital Management was up by 86%.  The rest  is history... it was this harsh entry into the world of trading, experiences losses in many forms early one has shaped Bacon to be one of the calmest thinkers and strategists under pressure whilst on the floor, or managing his own funds.  Bacon and Tudor Jones are still friends to this day.

Just 3 years after setting up his first fund Louis Bacon started giving back by setting up the Moore Charitable fund which is a non-profit organisation that distributes financial donations to other nonprofit organizations who support land and water conservation.