Browsing: hedge fund

Posts Tagged ‘ hedge fund ’

Covid-19 Alpha

Mar 31st, 2020 | Filed under: Newly Added, Risk management, CAIA Alternative Viewpoints, Risk Management Strategies & Processes

During the Global Financial Crisis, the financial world learned that, in times of calamity, “the correlations of risk-on assets move towards one.”  Asset classes that had appeared to be uncorrelated and which appeared to contain only idiosyncratic risks suddenly became correlated.  It turned out that systemic risk (correlation) was non-linear. Read More

The Illiquidity Premium and the Market for Private Assets

Apr 14th, 2019 | Filed under: Real Estate, Private Equity, Debt Types of Private Equity, Liquid and Fixed Income Real Estate, Newly Added, Asset allocation, Equity Types of Private Equity, Asset Allocation Models, Other Issues in Private Investments, Operationally Intensive Real Assets, The A.I. Industry, Real Estate Equity Investments, Private Investments, Real Assets, Finance & Economics

The illiquidity premium is one of the most frequently discussed and hotly disputed subjects in financial economics. Speaking broadly, an investment is not a checking account. One generally cannot just “get the cash back” at a moment’s notice, by visiting some equivalent of an ATM. How long will it takeRead More

What hath CalPERS Wrought? And Why?

Sep 30th, 2014 | Filed under: Institutional Investing, Fees

Should investors, especially institutional investors, push back (or push back harder than they have so far) against the fee structure preferred by those whom they pay to manage their money? And is the recent announcement from CalPERS such a push? Read More

Looking at the Next Generation of Institutional Investing

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

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

Investing in the Investor

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

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

The Delusions a Boom Can Bring and the Perils of Chasing Hedge Fund Winners

Aug 28th, 2014 | Filed under: Portable Alpha & Alpha/Beta Separation, Institutional Investing, Alpha Hunters, Alpha Strategies, Risk management

For an investor allocating slots in its portfolio to hedge funds, the draw of recent outsized performance can be powerful. Thus, the temptation to chase winners. But two members of the Hedge Fund Strategies Group at Commonfund caution against it. Read More

Eurekahedge: Europe-Focused Managers Took Hits in July

Aug 20th, 2014 | Filed under: Performance, Analytics & Metrics, Emerging markets

Banco Espirito Santo, and its CEO Salgado, had emerged from an earlier round of crisis (way back in 2012) with a roseate smell. Their latest smell ... not so good. 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

GFIA: June is ‘Listless’ for Many Asia Managers

Aug 10th, 2014 | Filed under: Hedge Fund Strategies, Alpha Strategies, Indexes

For many fund managers working in Southeast Asia, and/or China, June 2014 was “listless,” with numbers that suggest a flat tire. The booms on the ASEAN bourses are concentrated where the fund managers aren’t, in “high beta cyclical sectors.” Read More

Terwilliger’s Legal Troubles: Give Mark Cuban a Cigar

Aug 7th, 2014 | Filed under: Media Coverage of Hedge Funds, Alpha Strategies, Regulatory

The great thing about short sellers has always been that -- if they're good -- it's because they have a keen nose that can smell a boiler room. If they are open about what they're doing, they can also serve as a valuable red light for others in connection with overblown enthusiasms. Don't be the bag holder. Read More

Casella on Future of Hedge Fund Industry, Part Two

Aug 2nd, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing, Alpha Strategies

Mark Casella, leader of the U.S. alternatives group at PwC, explains that no manager "ever wants to put gates up or to announce a suspension," and talks about how the contract provisions that provide for such powers have been modified of late. This is part of the broader issue of the alignment of interests.Read More

McKinsey: Allocations Will Rise Despite Sticky Fees

Jul 31st, 2012 | Filed under: Real Estate, Private Equity, Alpha Strategies, Asset allocation

The reason for the increased interest in alternatives, McKinsey says, isn’t that the alternatives’ managers are slashing the price of their services. It is, rather, a discontent with the return to be gained from traditional investment. “Even with downward pressure likely over the next few years, revenue yields for institutional alternative products should remain well above the 35 bps average earned on today’s traditional institutional products.” Read More

Mark Casella on the Future of Hedge Fund Industry: Part One

Jul 30th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Alpha Strategies

Mark Casella, leader of the U.S. alternatives group at PwC, tells us why he thinks funds of funds still have a role to play in the future of the hedge fund industry, although "we have seen more and more institutions invest directly in hedge funds rather than through funds of funds." This is the first part of a two-part transcript of a broader discussion.Read More

More than $3 Trillion AUM for Top 100 Alternative Investment Managers

Jul 25th, 2012 | Filed under: Hedge Fund Industry Trends, Real Estate, Private Equity, Hedge Fund Strategies, Infrastructure, Institutional Investing, Alpha Strategies

The survey also asked that the asset managers state where their total assets are invested, using four geographical categories: Europe; Central/North America; Asia Pacific; Other. Commodity funds were easily the most heavily invested in C/NA, to the extent of 94 percent of their portfolios. Private equity funds are 61 percent invested in C/NA, and PE FoFs also have the majority of their portfolios there, at 54 percent.Read More

Dear SEC: Comments on the JOBS Act

Jul 19th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Regulation, Real Estate, Private Equity, Regulatory

A veteran of hedge funds and private equity, Jeff Joseph offers some comments to the U.S. Securities and Exchange Commission on the JOBS Act and what this legislation has the potential to mean to the global alternative investment community.Read More

Citi Says: Second Big Wave of Allocations on the Way

Jul 10th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing

In the introduction to their report, the authors quote one of their interviewees, a leader at a European pension fund, who said: “To me, investing is about going back to the basics. Why do I want to be in this asset class? Why do I want this product? Where does it fit in my portfolio?” Much of the report is structured as a discussion of two distinct shifts in the answers that have been given and are being given to those old queries.Read More

Preqin to Hedge Funds: Wooing Institutions May Require Patience

Jun 27th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing, Alpha Strategies, Asset allocation

Institutions aren’t to be rushed into committing to a hedge fund. The process can take more than a year. Preqin asked institutions: once a fund has caught their attention, specifically once they have first seen a fund proposal, how much time typically passes before they actually make an investment, if they do?Read More

Alpha Hunters: Looking at Alternative Investments From the Inside Out

Jun 7th, 2012 | Filed under: Hedge Fund Industry Trends, Real Estate, Private Equity, Hedge Fund Strategies, CTA, Derivatives, Institutional Investing, Alpha Hunters, Alpha Strategies, Venture capital, Forex

A deeper look at alternatives with Dr. Bob Swarup, a world-renowned expert and commentator on alternatives and financial markets as well as being a visiting fellow at London School of Economics.Read More

Sound Alternatives Practices in the Great White North

May 29th, 2012 | Filed under: Hedge Fund Regulation

The meat of the guide addresses what AIMA Canada considers sound practice in marketing and promotion, such as in the calculation and presentation of returns, in selecting a benchmark relevant to a specific strategy, and in explaining the various ratios used for the same purpose. It notes that the Association for Investment Management and Research’s Performance Presentation Standards (AIMR-PPS) recommend using a time-weighted method for the calculation of returns, a model otherwise known as the Modified Dietz method.Read More

Not Just Fire Sales: Contrarian Hedge Funds Find Alpha

Apr 16th, 2012 | Filed under: Hedge Fund Strategies, Alpha Hunters, Alpha Strategies

Although distressed“fire sales” are fewer in some periods than in others, it is true all around the business cycle that mutual fund managers face constraints related to the need “to cater to investors by investing in the hot stocks and by having a strong positive correlation between their flow and the value of the assets in which they invest,” as a new academic paper explains. Hedge funds, with their more professional investors, their deliberate opacity, and their constraints upon withdrawal, aren’t subject to those constraints. Thus, when mutual funds are constrained to follow a trend, hedge funds are in a position to be contrarians.Read More

A Battle Cry for Hedge Funds—Separate but not Equal

Apr 12th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Regulation

Diane Harrison examines the state of the hedge fund industry and regulation.Read More

Alpha Hunter Lauren Templeton on Generating Alpha from Value Investing

Mar 29th, 2012 | Filed under: Alpha Hunters, Alpha Strategies

AllAboutAlpha catches up with Lauren Templeton, great niece of Sir John Templeton to discuss value investing and its alpha potential.Read More

What Do Day-One/Early-Stage Investors Want?

Mar 12th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing, Alpha Strategies, Seeding/early-stage

Funds of funds dominate the world of institutional investors in Day 1 or early stage (D1/ES) hedge funds, and they do so for a simple reason. That is their business model. They exist to invest in hedge funds, and their goal is to be fully invested at all times, not to have a lot of money sitting around as cash. Read More

PwC on Public Pension Managers Who ‘Do’ Hedge Funds

Mar 5th, 2012 | Filed under: Hedge Fund Industry Trends, Hedge Fund Strategies, Institutional Investing, Alpha Strategies, Fees

The question in 2012 is not whether hedge funds (and other alternative investment vehicles) can attract pension funds, but how they should go about it. Alternatives managers will benefit most from the heightened interest of pension funds if they address the continuing concerns of their pension fund colleagues. For example, pension fund managers are well aware that investment in exotic and illiquid products is something hedge funds do, and they know that these products can help make a quick exit impossible. Read More

Conviction Versus Clarity—A Difference With a Distinction

Mar 4th, 2012 | Filed under: Hedge Fund Industry Trends

Emerging managers want and need investors and investors reputedly are sitting on cash looking for opportunities. So why aren't the two managing to get together?Read More

Alix Capital: Market Neutral Up, Fixed Income Down

Feb 29th, 2012 | Filed under:

After a survey of recipients of the UCITS Alternative Index, the UAI Industry Survey Q1 2012, Alix Capital reports that majorities expressed satisfaction with the current level of allocation for certain strategies: commodities, emerging markets, forex, and macro global strategies. But there was a lot of interest in increasing allocations to CTAs, equity market neutral, and volatility-based strategies. The strategy that receives the largest negative response (largest intended reduction in portfolio allocation) is fixed income. Read More

Passivity, Activity, and Alpha in Currency Management

Oct 2nd, 2011 | Filed under: Performance, Analytics & Metrics, Hedge Fund Operations and Risk Management, Hedge Fund Strategies, Currencies, Alpha Strategies

By Christopher Faille Passive and active investments are often contrasted as if the distinction is self-evident. It isn’t. Even for an unambitious long-only equity indexed fund, trades have to be executed in order to maintain the desired balance, and these trades can be executed either well or poorly, in waysRead More

Who said hedge funds don’t like chaos?

Feb 18th, 2010 | Filed under: Performance, Analytics & Metrics

A report from Moody's shows that hedge funds seem to hate volatility. But is this always true?Read More

New data shows that thanks to alternative investments, endowments did relatively well in 2009

Feb 4th, 2010 | Filed under: Institutional Investing

Sure, US university endowments took a dive last year. But a closer look reveals that, on the whole, alternative investments were a help, not a hindrance.Read More