Fund selection is becoming increasingly difficult for funds of hedge funds as the dispersion of returns between the best and worst managers for many strategies is lower now than at any other point since the onset of the credit crunch.
Investment gains from listed hedge funds focused on credit have comfortably outpaced those from listed peers concentrating on other asset classes, as flexible investment approaches to corporate bonds are favoured in a climate of dizzying prices.
For European bond investors interested in capital gains, recent years have been great. For those targeting yield, including institutional ‘forced buyers’, it has been horrible.
Ingenious Asset Management (IAM), has launched a charity service to provide multi-asset investment management for charities and similar bodies in the UK.
Hedge funds playing in share markets still control more assets than any other strategy in their industry, but after the sector led their peers’ falls last year, allocators have very different levels of appetite for the various sub-strategies within ‘equity hedge’.
A group of small but ambitious French merger arbitrage managers bucked the trend for negative performance in 2011 and are planning a repeat performance for 2012.
Markets lifted as it became clear S&P’s downgrade of France’s credit rating did not surprise investors, is not in line with Moody’s view and had little impact on the rates of French government bonds.
Schroder multi manager is looking to add a Ucits III compliant commodity trading advisor (CTA) strategy to its alternatives range to generate uncorrelated returns in a tricky investment climate.
Morten Spenner, CEO of fund of hedge funds International Asset Management, explains why he is overweight CTA and macro hedge fund strategies and remains confident about equity long/short and event-driven.
As one of the industry’s veteran macro traders retires, hedge fund allocators tell InvestmentEurope who they think could take his place.