Sun, Feb 26, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Other Voices: Not your father's hedge fund industry

Friday, March 23, 2012

Authored by Matt Nelson, Executive Director, Strategy at Omgeo LLC, a financial operations expert, this article looks at the consequences of pending regulations on the hedge fund industry.

Much of discussion on the regulatory changes facing the financial industry in 2012 and beyond has focused on high profile topics such as systemic risk, bank capital and OTC derivatives. Not only are these topics interesting to the masses, they’re also where regulators and the public have pointed their fingers when handing out blame for the crisis.

What many may not realize is that these global regulations, including Dodd-Frank in the US and EMIR and the AIFMD in Europe, will also have a profound and wide-reaching impact on hedge funds and the unintended consequences on this industry may be severe.

As an example, I was recently speaking to someone who works at a sizeable hedge fund who informed me the firm has recently decided to return their investors’ money. Among their reasons are the daily challenges of dealing with global regulations, demanding clients and difficult markets. I suspect that this firm is not alone and that many firms are following or considering a similar path.

Although the US markets are performing well, several Asian and European markets are struggling and globally, investor confidence is shaky at best. But as hedge funds are opportunistic and depending on their investment s......................

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. Comment - Mortgages, mergers and hedge fund fees, Fairholme's Berkowitz responds to court ruling against hedge fund suits of Fannie Mae[more]

    Mortgages, mergers and hedge fund fees From Bloomberg.com: Yesterday the U.S. Court of Appeals for the D.C. Circuit handed down an odd decision in a lawsuit over the government's nationalization of Fannie Mae and Freddie Mac. The key issue is what's called the "Third Amendment," the 2012

  2. Investing - Hedge funds continue to chase the herd in record Momentum wager, Marshall Wace bets grocer Sainsbury may need rights offering, Hedge fund net exposure has started to retreat, David Tepper's Appaloosa fund makes a huge buy, The 10,000-mile journey to Short Australia, Skeptical hedge fund investors grill Evan Spiegel about Snap's I.P.O.[more]

    Hedge funds continue to chase the herd in record Momentum wager From Bloomberg.com: Hedge funds can't get enough of momentum - even if it means embracing an investing strategy they hate. Loosely defined as betting on shares that went up the fastest over the preceding nine-to-12 months, h

  3. Opalesque Exclusive: Swiss investors take fund seeding and acceleration into their own hands[more]

    Benedicte Gravrand, Opalesque Geneva: Banque Bonhote, a 200-year old Swiss private bank, last year launched a community of investors - heads of Swiss family and advisory offices and wealth managers - with the aim of co-investing in the kind of managers they wanted to invest in, either by way of s

  4. K2 Advisors : Why We Like Activist Hedge Fund Strategies and Some Thoughts on Alpha[more]

    Matthias Knab, Opalesque: Rob Christian, Senior Managing Director, Head of Research K2 Advisors, Franklin Templeton Solutions, writes on Harvest Exchange: When d

  5. Ex-Navy SEAL backed by Mario Gabelli, Jean-Marie Eveillard and other value giants off to strong start[more]

    From Valuewalk.com: Sententia Capital Management is not your average value focused hedge fund. The fund was founded by Michael Zapata, a former Navy Seal Team 6 Officer and has attracted funding from some of the best-known names in the value space. Mario Gabelli, Jean-Marie Eveillard from First Eagl