Mon, Feb 20, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Swiss institutions don’t like alternatives anymore and other Swiss news

Wednesday, February 13, 2013

Benedicte Gravrand, Opalesque Geneva -

Swiss institutional investors don’t like alternatives anymore

Apparently, institutional investors’ exposure to funds of hedge funds (FoHF) has decreased by half on average since the crisis.

However, some pension funds did keep an important allocation to FoHF, as for example Credit Suisse’s pension fund. Its 10.4% allocation corresponds to half of the fund’s total exposure to alternatives. The fund is up 7% YTD – but it is an exception to the rule, reports Swiss daily Le Temps. Another exception is found in Zurich City’s pension fund. Due to positive performance, its allocation to hedge funds went from 5.8% in 2008 to 7.9% in 2011 (and 4.6% in private equity and 2.9% in commodities).

UBS’s own pension fund has not had any hedge fund allocation since 2008. That year, it sold its hedge fund investments and replaced them with fixed income. The bank is not currently considering re-investing in hedge funds, but may do so in future, if only for diversification purposes. Swiss railways company CFF’s own pension fund decreased its hedge fund allocation down to 1.5% of the portfolio of late.

Institutional investors cite different reasons for divesting: congruence of returns between passive and active asset classes, high fees, and lack of transparen......................

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. With $54bn in assets, Philippines is ready for hedge funds, alternative investment products[more]

    Komfie Manalo, Opalesque Asia: With the country's outstanding fund management industry at $54bn and growing, the Philippine market and its investors are ready to invest in "more sophisticated" asset management products, like hedge funds and alternative investments, said Deanno J. Basas, presi

  2. SoftBank to buy Fortress Investment for $3.3bn[more]

    From Reuters.com: Japan's SoftBank Group Corp on Wednesday said it has agreed to buy Fortress Investment Group LLC for about $3.3 billion, looking to add investment expertise as it prepares to launch the world's largest private equity fund. The all-cash deal is SoftBank's first major investmen

  3. ...And Finally - Truth in advertising[more]

    From Newsoftheweird.com: Girl Scout Charlotte McCourt, 11, of South Orange, New Jersey, saw her sales zoom recently when she posted "brutally honest" reviews of the Scouts' cookies she was selling -- giving none of them a "10" and labeling some with dour descriptions. She was hoping to sell

  4. Europe - Brexit - Updated legal guide, Euro exchange rates set to tumble as hedge fund's super computer predicts Marine Le Pen will be next French president, Swiss fund market hits all-time high[more]

    Brexit - Updated legal guide From Herbertsmithfreehills.com: When we began analysing in depth the possibility of Britain exiting the EU (Brexit), 18 months prior to the June 2016 referendum, the business consensus was very much that Brexit was a remote prospect that either would never hap

  5. People - Gramercy appoints Bradshaw McKee as managing director of Capital Solutions, Trump taps Cerberus's Feinberg to lead intelligence review[more]

    Gramercy appoints Bradshaw McKee as managing director of Capital Solutions Gramercy Funds Management LLC, a $5.8 billion dedicated emerging markets investment manager, today announced the appointment of Bradshaw McKee to the position of Managing Director, Capital Solutions and Distressed