Browsing: Hedge Fund Industry Trends

Hedge Fund Industry Trends

5 Insights on a Hedge Fund Outlook

Mar 12th, 2015 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing

Guest columnist Diane Harrison finds five trends in hedge funds that are worth watching.Read More


Why Constraints on Hedge Funds Matter

Mar 8th, 2015 | Filed under: Alpha Strategies, Alternative Mutual Funds, Hedge Fund Industry Trends, Hedge Fund Strategies, Indexes, Performance, Analytics & Metrics

Andrew Beer looks at what happens when talented hedge fund managers try and perform within the constraints of the mutual fund structure. Read More


Low Energy Prices: Crude and Refined Consequences

Jan 21st, 2015 | Filed under: Currencies, Hedge Fund Industry Trends, Hedge Fund Strategies, Indexes

Eurekahedge tells us that hedge funds were in the black 4.57% in 2014. That's hardly cause for celebration, since the MSCI World Index returned 6.79% over the same year. But all eyes now turn to the still-sliding price of oil. Read More


Top 10 Hedge Fund Trends for 2015

Jan 8th, 2015 | Filed under: Alpha Hunters, Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing

Guest columnist Don Steinbrugge, CFA, surveys institutional investors and hedge funds to find out what the top trends may be for 2015.Read More


Aligning Interests: Side Pockets, Side Letters, and Central Issues

Dec 9th, 2014 | Filed under: Fees, Hedge Fund Industry Trends

A proposed new set of principles, designed to encourage investors in the alt-investment industry in their discussions with their managements, encourages skepticism both about side-pocketed assets and about other investors' sweetheart deals (i.e. "side letters.") Read More


What Happens to Hedge Funds if 2008 Market Conditions Repeat?

Dec 4th, 2014 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Performance, Analytics & Metrics

Guest columnist Don Steinbrugge examines what might happen to hedge funds if there's a 2008 "Groundhog Day" in the markets.Read More


Big Data and Other Trends to Influence Hedge Funds in 2015

Nov 17th, 2014 | Filed under: Hedge Fund Industry Trends, Technology

Big Data makes possible new ranges of inferences, and gives value to new skill sets. There will continue to be plenty of roles for human beings in recognizing the shadows cast by the intense light emitted by new technologies.Read More


Looking at the Next Generation of Institutional Investing

Sep 25th, 2014 | Filed under: Asset allocation, Hedge Fund Industry Trends, Institutional Investing

Guest columnist Andrew Beer looks at the changes in institutional investing.Read More


Top 5 Ramifications of CalPERS’ Hedge Fund Exodus

Sep 24th, 2014 | Filed under: Alpha Hunters, Hedge Fund Industry Trends, Institutional Investing

Guest columnist Don Steinbrugge, CFA, looks at some of the potential reactions to CalPERS' leaving hedge funds.Read More


Investing in the Investor

Sep 4th, 2014 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, Institutional Investing, Retail Investing

Guest columnist Diane Harrison looks at what advisors think of hedge funds.Read More


Hedge Fund Branding Continues to Drive a Majority Of Asset Flows

Aug 14th, 2014 | Filed under: Hedge Fund Industry Trends

Guest columnist Don Steinbrugge looks at why the same hedge fund firms consistently bring in the assets.Read More


Japanese Investors Sticking with Hedge Funds, Expect Nikkei Rise

Jun 29th, 2014 | Filed under: Currencies, Hedge Fund Industry Trends, Performance, Analytics & Metrics

Why it is possible that the recent uptick in animal spirits in Japan comes largely from a sense that Abenomics as originally conceived has run its course, and that Abe and the rest of the gang there will have to move on shortly. Read More


Industry Discovery: Maturity is a Pain

Jun 26th, 2014 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing, Seeding/early-stage

One takeaway, from the point of view of the managers, is that a close engagement with institutional investors requires a lot of time and effort, and those commodities have to be budgeted. How to handle the circumstances of industry maturity is an individualized call. Read More


A Far-sighted View: Fund Alignment Rights Are Wave of the Future

Jun 12th, 2014 | Filed under: Fees, Hedge Fund Industry Trends, Hedge Fund Regulation, Hedge Fund Strategies

Guest columnist Rick Ehrhart looks at hedge fund incentive compensation.Read More


GFIA Credits Japan Funds with Excellent Risk Management

Jun 9th, 2014 | Filed under: Alpha Strategies, Hedge Fund Industry Trends

Some Japan-focused long/short equity funds did produce positive returns in April, swimming against the stream in a month when Topix, Nikkei, and TSE Mothers all fell. Read More


The Hedge Fund Fee Conundrum

Jun 1st, 2014 | Filed under: Fees, Hedge Fund Industry Trends, Hedge Fund Strategies

Andrew Beer, guest columnist, takes another look at the never-ending debate about hedge fund fees. Do they or don't they justify themselves?Read More


JOBS ACT Hedge Fund Marketing Strategy

Jul 9th, 2013 | Filed under: Hedge Fund Industry Trends

Don Steinbrugge, guest columnist, on what the US JOBS Act may mean for hedge fund marketing. Read More


Tolstoy, Happy Families and Asian Managerial Success

Jul 8th, 2013 | Filed under: Alpha Seekers, Alpha Strategies, Emerging markets, Hedge Fund Industry Trends, Hedge Fund Strategies

Asset managers within the Asian boutique universe keep telling GFIA that "asset raising is hard" in the present climate. It isn't going to become easy any time soon, but there is a new level of stability.Read More


A Third Wave of Alt-Industry Growth is Upon Us

Jun 30th, 2013 | Filed under: Alpha Strategies, Alternative Mutual Funds, Hedge Fund Industry Trends, Retail Investing

Private fund managers who want to be part of this wave, who hope to compete for the retail investment market with their absolute-return and non-correlation toolkit, shouldn’t think it is going to be easy. One of the sections of the SEI report is headed “understanding the hurdles.”Read More


Barclays: Growth Strategies as an Industry Matures

Jun 27th, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, Hedge Fund Strategies

On of the key points of the new report from Barclays, Making It Big, is that there are four broad business strategies that define hedge fund managers: product specialists (PS); asset class specialists (ACS); multi-strategy managers (MSM); and diversified alternative asset managers (DAAM). This classification has implications for growth. Read More


A Year After the AOL Proxy Fight: The Simple Lesson

Jun 26th, 2013 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies

It was surely not irrational for Starboard Value, a year ago, to ask its fellow AOL shareholders to withhold or withdraw the sort of 'trust' that Armstrong has requested of them on the subject of the hyper-local news experiment Patch.Read More


Rajaratnam Prosecution Sends a Signal: Traders Notice

Jun 25th, 2013 | Filed under: Hedge Fund Industry Trends, Legislation/Court rulings, Risk management

The arrest of Rajaratnam almost four years ago and the subsequent anti-insider enforcement activity doesn't of course come as news. But it raises fascinating questions about consequences: what have been the consequences amongst traders? Read More


Rice Elucidates Views on Managed Futures, Retail Investors

Jun 24th, 2013 | Filed under: Commodities, CTA, Hedge Fund Industry Trends

To encourage further exchange and understanding, I went back to Mr. Rice, after reading a comment from our reader, and asked him to expand on managed funds and their noncorrelation with traditional (largely equity) investment strategies. Tags, Agriculture, Commodities, Derivatives Read More


Marketing Closer or Poseur? How to Identify the First and Avoid the Second

Jun 13th, 2013 | Filed under: Alpha Seekers, Alpha Strategies, Hedge Fund Industry Trends

Guest columnist Diane Harrison takes a hard look at asset raising and the people who do it.Read More


PrevInvest: No Wind in Sails of Long/Short Equity

Jun 9th, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, Hedge Fund Strategies

PrevInvest begins a new report by documenting the doldrums in which long/short equity is stuck. As a first approximation because in the post-crisis world, certain traditional forms of stock-picker virtue have gone unrewarded.Read More


The Wind and the Leaves: Causality in Commodity Prices

Jun 5th, 2013 | Filed under: Commodities, CTA, Derivatives, Hedge Fund Industry Trends

Three scholars find a very real possibility that there is a cause and effect relationship between index flows in the derivatives markets, at least the agricultural index markets, on the one hand and price moves in the underlying commodity on the other. Read More


Preqin on Global Alternative Assets and Learning Curves

Jun 4th, 2013 | Filed under: Hedge Fund Industry Trends, Private Equity

The pattern with respect to allocations by institutional investors to hedge funds since 2009 is somewhat different from that of allocations to private equity. As Preqin’s report explains, many institutions have long been familiar with hedge funds, their learning curve has flattened out so to speak, and they have established a target allocation for hedge funds considered as an asset class.Read More


Merger Arb: Dampers and Bright Spots

May 9th, 2013 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies

Twelve ministries in the People's Republic of China, including the Ministry of Industry and Information Technology, have together released guidelines for accelerating M&A activity in key industries. this is one of the "bright spots" that may lighten up the future for the M&A world, though macro-economic realities in the U.S. and Europe are holding it back.Read More


Agecroft Partners Believes Hedge Fund Branding Drives a Majority Of Asset Flows

May 2nd, 2013 | Filed under: Hedge Fund Industry Trends

By Don Steinbrugge


Hedge Fund Replication: A Re-examination of Two Key Studies

May 1st, 2013 | Filed under: Alternative Beta & Hedge Fund Replication, Hedge Fund Industry Trends

Guest columnist Andrew Beer re-visits two significant studies on hedge fund replication.Read More


Hedge Funds as Metaphor: And Not in a Good Way

Apr 22nd, 2013 | Filed under: Hedge Fund Industry Trends, Media Coverage of Hedge Funds

One take-away from David Stockman's new best selling book is that the phrase "hedge fund" may well be on its way beyond descriptive significance. In the public realm, a "hedge fund" is now as much a metaphor as is a "Trojan horse." It is becoming a metaphor for any institution's failure to hedge. Read More


How Hedge Funds Need to Adapt Part II

Apr 21st, 2013 | Filed under: Hedge Fund Industry Trends, Hedge Fund Operations and Risk Management, Hedge Fund Strategies, Institutional Investing, Performance, Analytics & Metrics

Part II of a new SEI report on hedge funds and adapting to survival.Read More


Japan as Hedge Fund Opportunity

Apr 15th, 2013 | Filed under: Hedge Fund Industry Trends

All three classes of hedge fund outperformed the relevant index, Topix 1000, in the period since January 2004. Also, both broad based indexes and two of the HF indexes show a sharp uptick on the right hand edge of the graph, reflecting the ascension of Prime Minister Abe and the aggressive policies of the Bank of Japan.Read More


How Hedge Funds Need to Adapt: Part I

Apr 7th, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, Hedge Fund Strategies, Performance, Analytics & Metrics

“Few managers would be surprised,” SEI says, “that nearly one-third of the institutions queried in SEI’s 2012 survey reported making their due diligence processes more robust over the last two years.” The new robustness in the search for the nature and sustainability of the funds’ edge involves a new granularity, the questioning of specific investment decisions in the context of portfolio construction models.Read More


Is This the End of the Gilded Age for Hedge Funds?

Apr 3rd, 2013 | Filed under: Hedge Fund Industry Trends

"America’s top 25 hedge fund managers make more than all the CEOs of the S&P 500 combined.”????--The Economist, October 2012 Hedge Funds have had an incredible run over the last 2 decades. The annual salaries and bonuses of the most successful managers have been amongst the highest paid to anyone, anywhere, ever. Astronomical wealth has kept everything from top end international property to luxury goods to private yachts afloat for many years. ?This is starting to change. Multiple headwinds of lackluster performance, increasing competition and invasive regulation are starting to bite.Read More


An Earnings Report Every Hedge Fund Manager Should Review

Mar 21st, 2013 | Filed under: Fees, Hedge Fund Industry Trends

Guest columnist Diane Harrison looks at the future of hedge fund fees.Read More


Smaller Hedge Fund Managers Outperform: A Study of Nearly 3,000 Equity Long/Short Hedge Funds

Feb 18th, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, Hedge Fund Strategies, Performance, Analytics & Metrics

Beachhead Capital looks at performance in the long/short equity sector and finds that small funds outperform the large.Read More


Average hedge fund fee significantly lower than reported

Feb 14th, 2013 | Filed under: Hedge Fund Industry Trends, Institutional Investing

Guest columnist Don Steinbrugge looks at hedge fund fees.Read More


HF Investors and Managers Differ On Impact of New Regulations

Feb 6th, 2013 | Filed under: Hedge Fund Industry Trends, Regulatory

Forty-three percent of managers see Dodd-Frank as having a negative impact; 35 percent see it as having no impact at all; only 22 percent see it as a positive. The positive they see in it may simply be the presumed improved access to institutions that are “keen to invest in vehicles with some degree of regulated oversight,” in the words of Preqin's Amy Bensted.Read More


Portfolio Risk: The Case for Outsourcing

Feb 4th, 2013 | Filed under: Hedge Fund Industry Trends, Hedge Fund Operations and Risk Management

A FinCad white paper looks at the efficiencies and cost-effectiveness of outsourcing risk analysis.Read More


Risk Management versus Risk Mitigation & Absolute Return versus Hedge Funds

Jan 31st, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends

Rene Levesque looks at risk management and absolute return from an industry practitioner's point of view.Read More


An Alternative Theory of Natural Selection

Jan 17th, 2013 | Filed under: Hedge Fund Industry Trends

Diane Harrison looks at marketing opportunities for hedge funds in 2013.Read More


Women and Alternatives: A Long-Deferred Tipping Point

Jan 16th, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, High-net-worth investors, Institutional Investing, Performance, Analytics & Metrics

If you are managing the portfolio of an institution that invests in hedge funds, you might want to ensure that some sizable portion of the HF-allocated assets go to funds managed by women-led firms. In this, you will have company. Read More


Top Hedge Fund Industry Trends Predicted for 2013

Jan 13th, 2013 | Filed under: Hedge Fund Industry Trends

Veteran hedge fund marketer and institutional investor Don Steinbrugge looks at some of the hedge fund trends for 2013.Read More


The Move to Managed Account Platforms

Jan 7th, 2013 | Filed under: Hedge Fund Industry Trends

Shane Brett looks at distribution and the pros and cons of managed account platforms.Read More


Like Wine: Hedge Funds Have a ‘Terroir’

Jan 3rd, 2013 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, Performance, Analytics & Metrics

Hedge fund partners and traders in a given city socialize together, they talk shop, and they may have histories together in other local institutions before opening their respective hedge fund firms. They naturally develop locally distinctive ideas and practices, such as the value emphasis in Boston, or the relatively lower fees distinctive to Dallas.Read More


Hedge Fund Business Expenses: Like Shopping for Shirts

Dec 17th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Operations and Risk Management

The smallest of the four groups of hedge fund firms, those with AUM under $250 million, control only 6.3 percent of the industry's assets, yet pay roughly 19 percent of the aggregate business expenses. It's tough to be small, better to be medium sized, still better to be large, though it isn't necessarily best to be extra large.Read More


GFIA on Asia for the Nimble and Not-so-Nimble

Dec 12th, 2012 | Filed under: Alpha Strategies, Hedge Fund Industry Trends

The lead-up to the late October Bank of Japan announcement constituted a moment of truth for opportunistic hunters of alpha. Start 22 Fund took profits in the mid-October rally and ended the month up 2 percent, despite generally weak equity markets. Carnico Japan was "less nimble," in the words of GFIA. Read More


Funds of Hedge Funds May Be Down, But Don’t Count Them Out

Dec 6th, 2012 | Filed under: Alpha Strategies, Hedge Fund Industry Trends, High-net-worth investors, Institutional Investing

Away from the bleak headlines, the funds of hedge funds industry is quietly reinventing itself.Read More


A Fresh Look at Track Records and Risk

Nov 29th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Operations and Risk Management, Risk management

In Jack Schwager's view, the hedge fund industry as a whole is not a "mirage" at all. But relying on the past track record of specific funds or strategies: that is a dangerous reliance upon a mirage. Perhaps suggest that Grandma should put her nest egg in a diversified fund of funds.Read More