Page 26 - GoldenOne

GoldenOne
Chapter 3
Saving Renaissance the Mercer Way
Mercer had a plan to save Simons and Renaissance and make them rich, the kind of rich that would protect them forever. Mercer’s plan worked well with the current structure of Renaissance.
In the beginning...........
Renaissance created a subsidiary called Medallion that worked within Renaissance to be the workhorse and to further disguise the plan as legitimate, trustworthy, and profitable:
Medallion claimed to have a highly sophisticated computer program, created by Simons, and improved by Mercer and Peter Brown, another computer scientist. They preyed upon the gullible investor community that actually believed that market activity could be predicted by a computer program. And they had the credentials to impress and convince the gullible investing public: good education, and good work record. Fund managers supplied billions in cash from their clients (not their own money), and now Medallion was expected to deliver.
Well, they didn’t deliver, except for small losses that made their fund look like a second-rate investment, managed by mediocrity. It was a fund that should be avoided. And now it was for Mercer and Brown to find a way out of the mess they
13