Mon, May 21, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Despite negative performance in May hedge funds offer top risk/reward profile across asset classes

Wednesday, June 23, 2010

From Kirsten Bischoff, Opalesque New York:

Hedge funds' defensive positioning may have opened the industry to criticism as performance slightly lags equities indices during bull runs, but it has also helped snare the favor (and assets) of large financial institutions.

Hedge funds, which financial firm SEB expects will track slightly lower than equities in 2010, presents the strongest risk/return profile of all asset classes. "We predict that 2010 will be a somewhat better year for hedge funds than a normal year," says the firm, which is focusing most of their hedge fund investments in equity l/s, global macro and multi-strat managers (with a watchful eye on the event driven space, which they also expect to do well). ("The Debt Burden: Can the World Handle the Pressure?" May 2010)

After a period of time extending through 2009, where many investors shied away from the more complex strategies, firms like SEB and HSBC (which likes discretionary macro, distressed and event driven) are leading the way back into more robust portfolios that have exposures to all asset classes. Opalesque heard this position echoed in the recent Miami Roundtable when Rainford Knight, PhD and Managing Partner of the Florida Institute of Finance commented "Looking at the data we can identify a shift away from long/shor......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. News Briefs - Warren Buffett: Target date funds aren't the way to go, Cambridge Analytica could be reborn under a different name[more]

    Warren Buffett: Target date funds aren't the way to go Planning for retirement can be complicated and stressful. This is why target date funds - funds that are managed based on when you expect to retire - are so attractive. Over time, the balance of stocks, bonds and cash evolve automati

  2. Investing - Hedge funds hike Smurfit Kappa positions amid takeover deal hopes, Hedge fund IBV Capital digs deep to unlock long-term value in a competitive market, Eisman of 'The Big Short' fame recommends shorting Deutsche Bank[more]

    Hedge funds hike Smurfit Kappa positions amid takeover deal hopes From Irishtimes.com: Two US hedge funds, Davidson Kempner and York Capital, have accumulated a combined 4.74 per cent interest in cardboard box maker Smurfit Kappa using financial derivatives. It comes as many investors cl

  3. Foundations of hedge fund managers gave big to controversial donor-advised funds[more]

    In the world of philanthropy and tax-deductible charitable giving, the explosion of donor-advised funds has touched off intense debate. Now, there is evidence that the DAF boom is being further fuelled by hedge fund foundation money. Four of the top five foundations that gave the most to large do

  4. Study: For hedge funds, smaller is better[more]

    From Institutionalinvestor.com: The smaller the hedge fund is, the better its performance is likely to be, according to a new study. The study - "Size, Age, and the Performance Life Cycle of Hedge Funds," released April 26 - sought to determine whether a hedge fund's size and age had any effect on i

  5. Hedge fund returns rose in April for first gain since January[more]

    From Bloomberg.com: Bloomberg Hedge Fund Database shows returns flat this year - Currency strategies had the biggest monthly gain at 13% Hedge fund returns increased 0.78 percent in April, reversing two consecutive monthly declines. The swing of 134 basis points was driven by gains in all seven