Thu, Jan 29, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Emerging hedge fund managers can offer diversification in 'new normal’ challenging climate

Friday, November 30, 2012

by Beverly Chandler, Opalesque London:

Jeroen Tielman, chief executive officer and founder of hedge fund seeding platform IMQubator has named the current challenging market scenario as 'new normal’. Bonds he dismisses as offering return free risk rather than risk free return, and he finds that the uncertainties in the markets make investors react with more of a binary risk on / risk off behaviour.

"The consequence is that investors are seeking safe havens including cash" Tielman says in an interview with Opalesque, "So we are saying what does this mean for hedge funds and emerging managers in the hedge fund space?"

Tielman believes that in addition to providing investors with diversification, within the 'new normal’, IMQubator likes some strategies more than others. "We like strategies that are negatively correlated with equity exposure. For example strategies that exploit behaviour biases in equity bear markets; we like strategies that benefit from market activity in different forms of marketmaking techniques. We like volatility strategies, especially those that benefit from volatility spikes that occur when there are major equity drawdowns. In systematic, we like the faster reacting approaches like with some short CTAs do or range break out strategies. In discretionary we like strategies capable of decision making ahead of events, like global macro or discretionary commodity or forex traders."

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

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. Investing - U.S. investors favor currency hedged Europe ETFs as euro tumbles, Quants win back investors as Swiss franc fuels volatility gains, David Einhorn's $7bn hedge fund is loading up on this stock, Hedge fund BlueMountain Capital unveils Ocwen Financial short, claims default on notes[more]

    U.S. investors favor currency hedged Europe ETFs as euro tumbles From Reuters.com: U.S. investors stung by the falling euro who want to stay invested in Europe are turning to exchange-traded funds designed to strip out the impact of the region's currency. The biggest among so-called "cur

  2. News Briefs - Millennials use tech tools to jump into investing, Winklevoss twins to launch bitcoin exchange with FDIC insured deposits, Robertson’s legacy from hedge funds to New Zealand, Real estate managers exploring smaller open-end funds[more]

    Millennials use tech tools to jump into investing It is the Facebookification of monetary investing. From social networking platforms that enable young investors to stick to every other's stock-picking mojo, to internet sites for initially-timers hungry for a piece of the Silicon Valley

  3. Opalesque Exclusive: Ex-Citi trader launches 'sleep-at-night’ long/short equity fund[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: After working at Citi's proprietary trading desk, managing a large portfolio between 2008 and 2011, Joel S. Salomon founded SalauMor Management in New York

  4. …And Finally - Prison restaurant is the best in Cardiff[more]

    From Orange.co.uk: A restaurant at a prison staffed entirely by inmates has been ranked as the best in Cardiff by diners. The Clink Restaurant at HMP Cardiff - which is open to the public - has been ranked number one on TripAdvisor out of 946 eateries in the Welsh capital. Diners who pos

  5. Update: Prosecutors seek 12 years for hedge fund manager Francisco Illarramendi[more]

    Komfie Manalo, Opalesque Asia: Federal prosecutors have asked the court to sentence convicted hedge fund manager Francisco Illarramendi to 12 years imprisonment for running an elaborate Ponzi scheme that bilked investors hundreds of millions in dollars, including a Venezuelan pension fund, report