Yes, every tier 1 VC fund has consistently outperformed the market including USV, Sequoia, GSV, A16z, etc. That is what makes them tier 1. Even tier 2 funds are likely outperforming the market.n

For Rentech, I am assuming you are talking about their medallion fund which is not even open to outside investors because... there is more money in this world than there are good opportunities to deploy it. But even in your case, you have identified a fund that you believe outperforms the market. Given this knowledge, why would you invest in the market and not with that fund? The hard part is getting the allocation which is why it is much easier for a regular person to just index and chill. The opportunity cost is so much smaller.

But rentech is hardly the only quant fund out there that is beating the market. Citadel, Jump Trading, Two Sigma, etc are all performing very well. I wouldn't have any idea how to get an allocation there though (guessing the minimum buy-in is much higher than what is required for VC/PE).

I mean Citadel alone is an example of the opportunity to beat the market given that they act as both a market maker (buying order flow from retail investors on Robinhood) and frontrunning those trades as one of the largest hedge funds in the world.

Kenneth Griffin's penthouse will literally cast a shadow over NYC lol.