What you need to know on Wall Street today

Welcome to Finance Insider, Business Insider’s summary of the top stories of the past 24 hours.

Some of the world’s largest hedge funds have lost money this year — or made barely any — even as markets have hit record highs.

The funds are run by firms including Bridgewater Associates, the largest hedge fund firm in the world, and Two Sigma, one of the fastest-growing firms. The weak performance is especially striking, as the S&P 500 has delivered 10.4% through July. Here are this year’s returns for major funds, after fees.

In related news, this chart will give stockpickers everywhere nightmares. And John Burbank’s Passport Capital, which famously shorted the subprime mortgage crisis, is rapidly shrinking.

Stock market fear is erupting as North Korea tensions mount. As a result, Jeff Gundlach’s “free money” trade is already paying off. Gold is also spiking.

In Wall Street news, Barclays has hired Stephen Dainton, a former Credit Suisse executive, to be global head of equities. Goldman Sachs seized a yacht from a US oil mogul. And the CEO of Houlihan Lokey shared the three things he looks for in young Wall Street recruits.

Saudi Aramco is leaning towards listing its IPO in New York.

Snapchat maker Snap Inc. missed Wall Street’s expectations for its second quarter as a public company, sending its stock diving. Here’s what you need to know:

Wall Street analysts had a brutal assessment of Blue Apron’s prospects. Former Uber CEO Travis Kalanick is being sued by early investor Benchmark Capital over fraud allegations. And bitcoin exchange Coinbase confirmed its unicorn status with a $US1.6 billion valuation.

In other news, the American middle class is dying — and it’s driving department stores out of business.

Lastly, the future of the Hamptons is uncertain as young, rich buyers ditch mega-mansions and tennis courts.