Sat, Sep 24, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Europe – headache and hope for hedge fund managers

Tuesday, February 28, 2012

Beverly Chandler, Opalesque London - SEB’s Northern European Financial Group reports that all major hedge fund strategies showed negative results in 2011, with Equity Hedge performing the absolute worst with a downturn of 19.1%.

The firm found that the continued debt crisis and expectations of poorer corporate profits are likely to have a continued negative impact during the first quarter of 2012. "he probability of a recession in the euro zone has increased, and support for this view is visible in prices, which should indicate that market players have probably already discounted many of the negatives" they said.

Previously considered "safe" government securities also lost some ground during the October risk rally, when both the investment grade and high yield markets rose substantially. "Managers must remain tactical and agile, but the investment opportunities are good, especially for high yield corporate bonds, which have not kept up with the broader upturn".

The Northern European team reports that many hedge fund managers still see Europe as the most important area to watch in the near future. "Although the liquidity situation has improved the fact remains that there are extremely large government loans that will fall due and will need to be refinanced in the first quarter of 2012. The turmoil surrounding Greece and continued geopolitical tensions in the Middle East should create intere......................

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. Star names struggle as smaller hedge funds make hay[more]

    From eFinancialnews.com: Many big-name funds have been hit by sharp reversals in markets, including US government bonds and UK stocks, and have struggled to extricate themselves from positions that have gone bad. According to data group eVestment, hedge funds below $250 million in size are up 4.1% t

  2. North America - Acela fight splits hedge fund Connecticut and old money enclaves[more]

    From Bloomberg.com: Connecticut’s residential coastline is two worlds, the one of newcomer millionaires and one whose wealth and New England roots span generations. Now, their differences over a rail route threaten to gum up plans for the U.S. Northeast’s fastest-ever trains. About 30 miles from Man

  3. Activist News - Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership, Activist investors double chance of CEO exits[more]

    Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership From Calvinayre.com: Casino operator Caesars Entertainment has improved its offer to junior creditors to over $5b, but the offer is only good until Friday. On Wednesday, Caesars added an extra $1.6b to the $

  4. Comment - ‘Gut feeling’ measurable in hedge fund traders, How hedge fund managers can use blockchain to maximize benefits[more]

    ‘Gut feeling’ measurable in hedge fund traders From Laboratoryequipment.com: “Gut feeling” is an intangible – an automatic hunch – based on prior experience for some people. But the “gut feeling” is actually a measurable response developed in professionals doing some high-risk work, acco

  5. Opalesque Exclusive: Modern investor tools (2): A platform that does the job for you[more]

    Benedicte Gravrand, Opalesque Geneva: A new series on technology providers that assist asset allocators. There is disruption in the investor part of the world of hedge funds, coming from platforms that can replace traditionally-run search and analysis. Here is one of them. L