There was a time, not so long ago, when the term "star hedge Fund manager" had a legitimate place in the investment lexicon. Today, however, the sector smacks more of faded grandeur than constellation.

Take John Paulson. At the height of the financial crisis, he and his company, Paulson and Co, amassed returns on a gargantuan scale after correctly calling the US subprime mortgage crisis. By reportedly making $3.5bn (€2.6bn) in a year as a result, Paulson became the benchmark of success in the hedge fund industry. But as market volatility has wreaked havoc upon the portfolios of even the savviest investors, such star managers have become increasingly rare. Even Paulson has suffered a series of setbacks of late after two of his largest funds recorded losses earlier in the year.