Sun, Feb 25, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

South African hedge funds face regulatory change as their industry grows

Tuesday, October 02, 2012

Beverly Chandler, Opalesque London: South African fund group Novare has published its latest Hedge Fund Survey examining the growth of the hedge fund industry across the country to June 2012. Their findings include an observation that the industry underwent some 'material changes in a tumultuous year’ when regulatory change was the backdrop to some interesting and varied investment returns.

According to Novare, assets in hedge funds in South Africa reached R33.6bn ($4bn), an increase of 6.9% over the years, with the bigger managers getting bigger, resulting in 46.2% of industry assets sitting with managers with assets over R2bn ($0.24bn). The increase in assets was dominated by returns rather than new capital inflows.

While the majority of assets are with funds that have a track record of over five years, 14 new funds were launched between 1 July 2011 and June 2012 with equity long/short dominating the strategies available. Of the new funds, 10 were launched by companies that already manage hedge funds.

When asked where they thought new assets might come from, South African hedge funds in the main, at 53.8%, believed that it would be from pension funds through funds of funds.

In terms of performance, larger hedge funds in South Africa achieved better returns with funds with over R1bn ($0.1bn) achieving returns of 16.1%.

Novare concludes that the fledgling hedge fund industry in South Africa is......................

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. Opalesque Exclusive: Global Sigma captures February's long-vol trade[more]

    Bailey McCann, Opalesque New York for New Managers: Florida-based Global Sigma rode February's volatility to new highs. The firm's AGSF strategy is up +2.8 percent through February 16 and +4.2 percent YTD a

  2. Art & Motion launches collectible car alternative investment vehicle[more]

    Komfie Manalo, Opalesque Asia: Luxembourg-based Art & Motion has launched a new investment vehicle dedicated to vintage cars and exceptional high-quality vehicles as this collectible market has grown exponentially the turn of the centu

  3. Investing - Hedge funds turn short on tech just as stock rally takes off, After biggest short, speculators slash bearish US bond bets as supply deluge looms[more]

    Hedge funds turn short on tech just as stock rally takes off From Newsmax.com: A key group of investors has just missed out on the biggest tech-stock rally since 2014. Hedge funds and other large speculators turned net short on Nasdaq 100 Index futures for the first time in 21 months, ac

  4. Low volatility funds fail to protect investors[more]

    From FT.com: A number of exchange traded funds (ETFs) designed to protect investors from sharp stock market gyrations lost more money than mainstream US stocks during a sell-off this month, underperforming in precisely the conditions in which they were meant to thrive. Low volatility ETFs, lau

  5. Legal - Hedge funds fight to save M&A arbitrage strategy, Fannie Mae and Freddie Mac ruling blow to hedge funds[more]

    Hedge funds fight to save M&A arbitrage strategy From FT.com: Hedge funds which use the US courts to wring higher prices for merger and acquisition deals are fighting to save the lucrative investment strategy, after a Delaware court ruling that threatens to shut it down. Verition Partner