According to HFR, investors continued to withdraw capital from Fund of Hedge Funds, which experienced $4.4 billion in 3Q outflows, the 6th consecutive quarter of outflows. Total capital invested in Fund of Funds increased to $635 billion, as the HFRI Fund of Funds Composite Index gained +2.4 percent for the quarter. The HFRI Fund of Funds […] Read more »
Will More Hedge Funds Move to Florida?
Hedge funds are packing up and heading south. Is this a continuing trend or a brief part of the financial sector’s ongoing evolution? Apex Fund Services — one of the world’s largest independent fund administration companies with more than $20 billion of assets under administration — recently opened a new office in Miami, Florida. Vincent […] Read more »
HF Marketing – Impact of Alternative Investment Fund Managers Directive
By Selina Sagayam and Lauren Dunford of Gibson Dunn The FSA published the first part of its long-awaited consultation paper “CP 12/32 Implementation of the Alternative Investment Fund Managers Directive (“AIFMD“) Part 1” on the 12th of November. Below is an extract about marketing and AIFs from Gibson Dunn’s alert. The alert also addressed valuation, […] Read more »
Contrast Between Credit and Liquid Hedge Funds at Fortress
By Simon Kerr Fortress Investment Group LLC reported 3Q 2012 results recently. Fortress divides its hedge funds into two groups – Liquid Hedge Funds and Credit Hedge Funds. Credit Hedge Funds includes the Drawbridge Special Opportunities Fund and the Value Recovery Funds, and the Liquid Hedge Funds includes the Fortress Convex Asia Fund, Commodities Fund, […] Read more »
Preference for Dominance in a Narrow Sector
From http://streetid.com and ClaritySpring There are thousands of hedge funds competing in the marketplace. They come in all shapes and sizes, but all too often they approach investors with the same thesis. “The things that everyone sees all the time are long/short and global macro, basically people that are saying, ‘We’re gonna be better than […] Read more »
HFI PODCAST: Inside OMAM Quants v2
The first Hedge Fund Insight Podcast is an exploration with Dr. Ian Heslop of how his team operates and it explores some of the structural decisions they have made to manage capital quantitatively at Old Mutual Asset Managers (OMAM). Ian Heslop is Head of Quantitative Strategies, running a team of five, and he is co-Fund […] Read more »
Early View of Last Month from FRM
Fund of funds manager Financial Risk Management (FRM) produces a monthly “Early View” reviewing the hedge fund and market themes and sector performance for the previous month. The highlights for April 2012 were: “We had been concerned that the hedge funds with low market beta were too slow to rebuild risk through the first three months […] Read more »
Hedge Fund Industry Assets Recover to Last Summer’s High
Highlights from HFR Global Hedge Fund Industry Report 1Q 2012 Total capital invested in the global hedge fund industry increased to $2.13 trillion, surpassing the previous record of $2.04 trillion set at mid-year 2011. Investor preferences for fixed income-based Relative Value and less correlated Macro strategies, which have been favoured for over two years, accelerated […] Read more »
Hedge Funds to Step Up In LBO Market in Europe
Just like the private equity business, Leveraged Buy Out (LBO) activity is usually subject to a cycle related to that of the stock market with a lag. On top of that in Europe there used to be laid a secular growth in LBO volume, and a long-term trend towards a wider variety of buy-out financing […] Read more »
The Truth About Hedge Fund Risk
Article contributed by Charles T. Hage Need for Truth The hedge fund industry is seriously short on how it treats the subject of risk. The industry has been confusing investors by defining risk poorly and applying it post‐facto to returns. Especially in times when challenging economic and financial conditions call for high standards of professionalism […] Read more »