Fri, Mar 27, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Structured assets outperform in risk on/risk off environment

Monday, August 13, 2012

amb
Ernesto Prado
Bailey McCann, Opalesque New York:

Ernesto Prado is Chief Investment Officer and Partner at Ayaltis AG, a fund of hedge funds. Prior to founding Ayaltis, Ernesto was CIO of Peak Partner SA. He is a veteran of the finance industry, having also worked and Solomon Brothers. More recently, his work at Ayaltis was rewarded with two InvestHedge Awards (2007) for best-risk adjusted returns in the fixed income category during the subprime crisis. He was recently interviewed by Sona Blessing for Opalesque Radio.

According to Prado, he was able to achieve these returns by starting early on with a very clear understanding of the Macro environment. He explains that during a time marked by uncertainty such as this, his team has been able to build on that early understanding to create portfolios that are able to withstand a risk on/risk off environment and still generate returns.

"In this environment you could select from a sound strategy and you might be fundamentally correct on the valuation, but because Greece is about to default it completely fakes the fundamental analysis," he says, noting instead that investors and managers alike also need to factor in price distortions that are currently widespread throughout markets due to the debt crisis in both the US and Europe and subsequent central bank interventions. "All of the assets are sitting on a pedestal of sovereign risk."

......................

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. Other Voices: Does the hedge fund industry benefit society?[more]

    This article was authored by Don Steinbrugge, Chairman of Agecroft Partners, a US-based global consulting and third party marketing firm for hedge funds. It is no secret that the hedge fund industry is viewed negatively by a la

  2. Private credit comes into focus for investors[more]

    Bailey McCann, Opalesque New York: As investors look for a way out of the low yield/no yield environment, private credit is becoming an increasingly attractive asset class, according to a white paper from Bayshore Capital Advisors. Private credit has grown steadily since the financial crisis as

  3. M&A - Hedge funds no longer attractive targets for banks, reinsurers, Blackstone buys stake in Christopher Pucillo’s Solus event-driven hedge fund[more]

    Hedge funds no longer attractive targets for banks, reinsurers From Institutionalinvestor.com: Swiss RE, the world’s second-largest reinsurer, is looking to sell its 15 percent stake in Jersey, Channel Islands–based hedge fund firm Brevan Howard Asset Management. Morgan Stanley reported

  4. Opalesque Radio: Threadneedle expects continuing equity volatility this year[more]

    Benedicte Gravrand, Opalesque Geneva: Investors should expect more volatility, which is signaling a "slow moving" top to the market, KKM Financial’s founder and CEO Jeff Kilburg told CNBC on Monday. And this volatility is going

  5. Hedge funds show strong performance of 2.52% so far in 2015[more]

    Komfie Manalo, Opalesque Asia: The hedge fund industry got off to a strong start in 2015 "completely unmindful" of the poor performance last year, according to data provider Preqin. According to Preqin, following a year which saw the average he

 

banner