Fri, May 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 normalí 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 normalí. 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 normalí, 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. Opalesque Exclusive: New TMT hedge fund adopts the long-term approach[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Adam Parker founded Center Lake Capital LLC in New York in November 2014. Before that, he was portfolio manager at Point State Capital (the successor fund to Dr

  2. Regulatory - Hedge funds face tax as Iceland poised to end capital controls, Comment: Why alternatives need more transparency, not enforcement[more]

    Hedge funds face tax as Iceland poised to end capital controls From Bloomberg.com: Hedge funds and other investors who bought claims against Icelandís failed banks face a tax that targets the lendersí estates as the government prepares to unveil its plan for exiting capital controls in t

  3. Investing - Nelson Peltzís Trian Fund Management reduces position in Legg Mason, Biotech investors up big amid bubble talk, Hedge funds increase exposure in healthcare[more]

    Nelson Peltzís Trian Fund Management reduces position in Legg Mason From Octafinance.com: Trian Fund Management has filled a SC 13D/A form regarding Legg Mason, Inc. Per Nelson Peltzís Trian Fund Managementís filing, the filler reported decreased stake in the company by -11.05% to 11,03

  4. Opalesque Exclusive: BMO launches multi-strat '40 act fund[more]

    Bailey McCann, Opalesque New York: As we reach new market highs, investors are looking for a way to diversify and protect their portfolios from a potential market correction. Liquid alternatives are rapidly gaining ground as a critical tool for investors to use to mitigate downside risk. The BMO

  5. All hedge fund strategies rebounded last week as market conditions normalize[more]

    Komfie Manalo, Opalesque Asia: After a difficult start this month, all hedge fund strategies ended last week in positive territory, as the Lyxor Hedge Fund Index gained 0.9% (-0.2% MTD, 3.3% YTD). According to Lyxor AMís latest Weekly Briefing, in t

 

banner