Thu, Feb 23, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Understanding differing dimensions of risk is crucial say Roundtable participants

Wednesday, January 23, 2013

amb
Daniel Ades
By Beverly Chandler, Opalesque London:

Participants at the Opalesque Florida Roundtable, sponsored by Eurex and Wells Fargo Insurance Services, discussed the dimensions of risk in a portfolio, and how they are interlinked.

Daniel Ades, partner at Kawa Capital Management commented that the risk dimension is as fundamental to portfolio construction as risk/reward. "People have different perceptions of risk, and I believe it is helpful that investors are really aware and conscious about which of the three basic types of risk they are taking." For Ades, there are three basic risk dimensions: "Duration - how long you are going to hold the investment; liquidity - how liquid is it, and credit risk, which is how likely is a permanent loss of capital."

Ades believes that all investments include a particular equation between these three different forces, so each investment includes different nuances of these risks. "And if an investor is going further along the risk curve, they are taking more risk, also in the other two types of risk. So for us, the other area of friction when talking to prospective investors is often around risk. We sometimes see that investors don't realize the risk they are taking in the other two areas of risk, because they ha......................

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. People - Kuwait wealth fund head Al Saad said to step down after 14 years[more]

    From Bloomberg.com: Kuwait Investment Authority is set to name Farouk Bastaki as managing director, replacing Bader Al Saad who ran the world's fifth-largest sovereign wealth fund for 14 years, a person familiar with the matter said. The KIA, as the fund is known, is finalizing the appointment, said

  2. Manager Profile - Eddie Lampert: a painful entanglement with Sears[more]

    From Moneyweek.com: "In the long run we are all dead." Lex in the Financial Times reached for the famous quote from John Maynard Keynes in January when, after a long and unforgiving decline, the clock finally appeared to be running out on Sears, the iconic US department store group. Yet the group's

  3. Investing - Hedge funds quit Aberdeen shorts as shares begin to recover, Hedge funds' next big short: U.S. malls, O'Connor fund owns 9.5% of Protalix Biotherapeutics, U.S. hedge fund takes position in Macau hotel The 13[more]

    Hedge funds quit Aberdeen shorts as shares begin to recover From Investmentweek.co.uk: The last two hedge funds to short Aberdeen Asset Management have removed their positions, as the fund group's shares begin to show signs of recovery after a difficult few years. According to the Financ

  4. Latin America, high yields and Asia Pacific strategies dominate hedge fund returns in January[more]

    Komfie Manalo, Opalesque Asia: Latin America (+7.04%), high yield (5.63%), and Asia-Pacific (+5.06%) strategies dominated hedge fund performance in January, data provider Hennesee Fund Research said. The bottom three strategies for the mont

  5. Investing - Hedge funds loading up on this dividend stock, The biggest hedge funds have been piling into bank stocks[more]

    Hedge funds loading up on this dividend stock From Incomeinvestors.com: Hedge funds are backing up the truck on Cameco Corp stock. Billionaire Jim Simons owns 389,000 shares. Other Wall Street titans - including Ray Dalio, Ken Griffin, and Chuck Royce - have been quietly building positio