Tue, Dec 1, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Pfaeffikon talking (4): Man’s Peter Clark on hedge fund challenges and opportunities

Thursday, October 04, 2012

Peter Clarke
Benedicte Gravrand, Opalesque Geneva:

Peter Clarke, CEO of Man Group plc, the $52.7bn hedge fund firm with head-quarters in London and other main offices in Pfaeffikon, Switzerland, discussed the key challenges facing the hedge fund industry and its long term prospects during an IIR conference in Pfaeffikon last week.

Key challenges The first one, Clarke said, is performance. Many things have changed in the last few years: markets, parameters, expectations and requirements of investors and of regulators and politicians. Since the beginning of the financial crisis, we have seen liquidity problems, asset prices collapse and volatility spiking and volumes declining.

"Indeed, a perfect storm for the asset management industry," he noted. The policy reaction (injecting liquidity and bringing down interest rates) did sustain asset pricing and re-balanced volumes and volatility. But there is a price to pay. And that sits in the context of investment returns and counterparty quality, and "most annoyingly" in the alternatives world, in asset correlation. So producing uncorrelated returns is now more challenging.

Only bonds have seen progressive returns since January 2007. World stocks, even if they have done well lately, have seen high volatility. "Mos......................

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. David Einhorn's hedge fund plunged 5.2% in November, set for 2015 loss[more]

    From Bloomberg.com: David Einhorn’s main hedge fund at Greenlight Capital fell 5.2 percent in November and is poised for only its second losing year in almost two decades. The losses bring the fund’s yearly drop to almost 21 percent, according to an e-mail sent to clients that was obtained by Bloomb

  2. People - Solus Alternative Asset Management adds chief strategist from BTIG[more]

    From PIonline.com: Daniel Greenhaus joined hedge fund manager Solus Alternative Asset Management as managing director and chief strategist. He will work closely with Chris Bondy, Solus’ chief economist, managing director and executive vice president, said Chris Pucillo, CEO and chief investmen

  3. Commodities - Stung by oil, distressed-debt traders see worst losses since '08[more]

    From Bloomberg.com: It’s mid-November, but for investors who trade in the debt of distressed companies, the year’s already done -- and they lost. Hedge funds that specialize in the debt are grappling with their worst declines in seven years. Funds managed by Knighthead Capital Management, Candlewood

  4. Regulatory - Major changes in partnership audit procedures contained in 2015 Budget Act[more]

    Contained in the Bipartisan Budget Act of 2015, signed by President Obama on November 2, is a rather complex provision that materially changes how partnerships are audited. Generally effective for tax years beginning after December 31, 2017, the so-called “TEFRA” and “Electing Large Partnership” rul

  5. Following review Yuan included in reserve currency basket[more]

    Bailey McCann, Opalesque New York: The International Monetary Fund has confirmed the inclusion of the Chinese Yuan in the reserve currency basket. This means that loans will be available in Yuan alongside other major currencies including the US Dollar and the Euro. The basket of reserve curr