Disgraced Teen Hedge Fund Manager Jacob Wohl Has Started His Own Alt-News Site
Wohl “gained notoriety” when he founded Wohl Capital Investment Group (WCIG) as a 17-year-old. His other two companies were Nex Capital Management and Montgomery Assets, Inc., although he now operates under Montgomery Assets after the National Futures Association banned Wohl and Nex Capital for life.
Here’s Wohl’s description of himself from his Medium,
Jacob Wohl has gained notoriety for becoming the world’s youngest hedge fund manager, when he started his first hedge fund Wohl Capital Investment Group, when he was just 17 years old. Since then, he’s become quite controversial, expressing contrarian financial and political opinions to his more than 50K followers on his verified twitter page.
Recently, Jacob Wohl was thrust into the spotlight once again, when he was retweeted by President Donald J. Trump. https://twitter.com/JacobAWohl/status/882021780323311616
Currently, Jacob Wohl is the CEO and a Managing Partner at Montgomery Assets, in Los Angeles, CA. He started that asset management and proprietary trading firm with a business partner, who has previous experience working in the hedge fund and private equity business.
Jacob Wohl’s fundamental bet with Montgomery Assets is that as the current titans of the hedge fund industry begin the retire, the capital currently managed by them will trickle down to newer, innovative start-up hedge funds.
Wohl is still very new to the hedge fund business, and despite attracting his fair share of controversy, he is confident that over the long-term, his exceptional trading track record is what will attract investors and allow him to scale his business.
Wohl created his WCIG website on Wix.com, although the webpage has reverted back to its free domain form, and recommends you check out his new webpage at beverlyhillsinvesting.com, which redirects you to Montgomery Assets’ current website. Don’t be fooled by the Beverly Hills URL or address, according to ValueWalk, Wohl admitted it’s nothing more than a virtual office location. Additionally, most of the pictures on the current asset management website are stock photos that are free to use, but that’s not uncommon on asset management websites.
Earlier this year, the Arizona Securities Commission accused Wohl’s companies of violating the state’s securities laws. According to Benzinga, Wohl was accused of 14 counts of fraud in connection with the offer or sale of securities, including:
Wohl and WCIG falsely represented to Investor 1 that only 20 percent of his investment would be at risk, yet lost approximately 50 percent of his Investor 1’s account value between December 2015 and January 2016, according to the securities commission.
Wohl and WCIG falsely represented to Investor 1 that WCIG managed between $9 million and $10 million in assets, but actually managed less than $500,000, the order said.
Wohl and WCIG misled Investor 1 regarding the risk associated with the investment by representing that a textbook trade for WCIG had a 99.5 percent probability of profit, according to the commission.
Wohl, Johnson, and MAl falsely represented to potential investors that MAl had 35 years of experience flipping single-family residential real estate, but MAl had existed for less than six months, the order said.
In a more recent Benzinga report, Wohl denies any wrongdoing – both in respect to the Arizona investigation and the year-long SEC investigation that recommended no action be taken. In his July 23 Medium post, Wohl claims he “is confident that over the long-term, his exceptional trading track record is what will attract investors and allow him to scale his business” — although, his business plan of waiting for the incumbents to die is pretty lame.
In the meantime, Wohl has started his own alternative news site called Offended America. A tabloid-esque website that claims to publish “real news” — although, every article is authored by the editor in chief, Jacob Wohl.
All the credit shouldn’t go to Wohl however, as some of the articles are simply copy and pasted from websites like The Daily Caller, with some loose attribution. He does rewrite the titles to add some spice (like Drudge) and adds a picture, before republishing the articles on his blog.
While that’s not to say he’s necessarily doing anything wrong — websites like Drudge Report have aggregated articles for years with edited headlines, and some websites allow you to republish their content — I’m somewhat skeptical.
Wohl has also latched himself onto Donald Trump’s administration as a way to gain followers, promoting Trump and bashing Hillary every chance he’s had in the last year on social media.
At some point during Trump’s rise, Wohl seems to have realized that his “contrarian financial and political opinions” would make for a decent alternative news spin, and he may even be able to advertise his brand and websites by using Trump. Wohl’s most common tactic for gaining exposure is to spam about 5-10 tweets in reply to any Trump tweets as fast as possible, in an effort to gain followers, views, and perhaps Trump’s attention (Trump has retweeted him… twice).
That’s not to say everybody is falling for Wohl’s pro-Trump propaganda. He gets a shitload of hilariously mean responses that he brushes off according to Benzinga, “Hate mail doesn’t bother me, I get a kick out of it. It means I’m doing something right. I rarely respond, but when I do, I only respond with GIFs.”
Wohl’s opinion of Trump is insanely generous by most standards, and he’s gone as far as naming the economics section of his blog, ‘Trumpenomics,’ as if Trump is solely responsible for the economic condition of our country and not a major risk. It’s actually pretty insulting to real economists to give Trump any sort of credit in regards to basic economic concepts (or any Republican who still listens to Arthur Laffer’s supply-side nonsense).
In case you hadn’t guessed from the tweet about Liberalism being a mental illness, Wohl is kind of a loose cannon on Twitter, which, combined with his unrepentant love of Trump, has led to some pretty out-there tweets:
Here are some of my favorite headlines from Offended America:
I have to say, Wohl has a lot of chutzpah, and his website’s layout is fairly appealing, although it’s similar to other conservative news sites, WordPress was a solid choice. That being said, I hope he starts writing more articles because I’d like to read his opinions, not Fox News. It’s also a bit dubious to publish business and stock market news while managing a hedge fund, but there are similar examples that operate without issue (albeit with a bit more transparency about their holdings).
UPDATE 8/22/2018: Offended America has rebranded to The Washington Reporter.