Sun, Sep 21, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Investors and hedge fund managers must come to a common understanding about what is possible

Thursday, December 13, 2012

amb
Dr. Sassan Zaker
Benedicte Gravrand, Opalesque Geneva:

According to Dr. Sassan Zaker, head of Alternative Investments at the CHF2bn Julius Baer Pension Fund, the key to investing is simplification.

This summer at the GAIM conference, Zaker reportedly called for fundamental changes to the way institutional investors approach hedge fund manager selection and suggested pooling with other pension funds to create a fund of hedge funds.

A lot of people are looking for new ways of defining risk and returns for various asset classes and hedge funds nowadays, he said during Terrapinn’s Hedge Funds World conference in Zurich last month.

But back in the days, "it was like 'Hedge Fund Bazaar’," he noted during his presentation. "You went to the bazaar; you selected hedge funds across asset classes. But a better way of investing in hedge funds is that, we investors define our targets returns and risk budget and then we go to hedge funds and say "can you manage this or not?" This is much more efficient and reduces costs."

Let’s say pension funds in Switzerland, which seek returns of 5% and have $800bn in assets, want to invest 10% in hedge funds, he continued. They send a Request For Proposal and ask hedge funds if they can achieve 5% net. Of course, no hedge fund man......................

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. SEC charges 19 investment firms and one trader for breach of Rule 105[more]

    Benedicte Gravrand, Opalesque Geneva: The Securities and Exchange Commission (SEC) started a push to enhance the enforcement of Rule 105 of Regulation M last year to uncover hedge funds and private equity firms that have illegally participated in an offering of a stock after short selling it duri

  2. Fund managers, bullish on Europe, anticipate monetary policy separation of Fed and ECB[more]

    Komfie Manalo, Opalesque Asia: At least 202 fund managers with $556bn of assets under management said that while the European Central Bank (ECB) has eased its monetary policy that sent sentiments towards Europe to pick up, the Fed is expected to hike its rate in the spring of 2015. Investor

  3. Institutions - North Carolina workers call on state pension to dump up to $6bn in hedge funds, UK pension fund criticizes hedge fund fees[more]

    North Carolina workers call on state pension to dump up to $6bn in hedge funds From Forbes.com: The State Employees Association of North Carolina this afternoon called on state Treasurer Janet Cowell to withdraw all investments in hedge funds, which appear to amount to approximately $6 b

  4. News Briefs - Limited partners of investment managers may be subject to self-employment taxes, Just one week left until NYC's Rocktoberfest[more]

    Limited partners of investment managers may be subject to self-employment taxes On September 5, 2014, the Internal Revenue Service (“IRS”) issued Chief Counsel Advice 201436049, concluding that members of an investment manager were subject to self-employment taxes with respect to their e

  5. Institutions - Adviser's faith in hedge funds unshaken by CalPERS' move Advisers weigh in on CalPERS’ decision, Gina Raimondo sees no reason to follow California’s lead, exit hedge funds, Danish pension funds step up 'alternative investments'[more]

    Adviser's faith in hedge funds unshaken by CalPERS' move From WSJ.com: Financial advisers who use hedge funds in their clients' portfolios say they aren't rethinking that approach after a huge California pension fund announced plans to exit the hedge-fund market. The decision by the Cali