Mon, Jul 28, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

India hedge funds struggle in competitive market

Tuesday, April 30, 2013

From Komfie Manalo, Opalesque Asia – Indian hedge fund managers are struggling to attract investors but hope to succeed where their much larger foreign counterparts don't, reports India Times, citing some local fund managers who produce double-digit returns.

In a nation where investors prefer stocks, local hedge fund managers, who enjoy the advantage of first-hand information on the local market and the lack of foreign currency exposure, face a huge challenge to convince investors to shift to an unfamiliar investment style (such as long/short equity) and to high fees.

Data from Eurekahedge showed that assets of India-focused hedge funds fell 68 % from 2007 to $2.1bn in March 2013. The Eurekahedge India Hedge Fund Index is down 2.7% (est.) YTD (to March), after returning +12.3% in 2012 and annualizing +5.4% since the index’ inception in January 2000.

But there is a flicker of light for the domestic hedge fund industry in Asia’s third largest economy.

Last week, the market regulator finally SEBI approved 47 alternative investment funds (AIFs), including hedge funds, to operate in India. These AIFs had started registering with SEBI in July 2012.

In May last year, SEBI rel......................

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. Events – AIMA Australian Hedge Fund Forum, Sept. 16, Sydney[more]

    AIMA Australia invite you to join us at our annual Hedge Fund Forum on Tuesday 16th September 2014 at the Sofitel Sydney Wentworth. The AIMA Australian Hedge Fund Forum is a non-profit hedge fund conference organised by the industry for the industry, featuring quality Australian and internation

  2. Opalesque Roundtable: Success in hedge fund marketing not linked to performance, but investor appetite[more]

    Komfie Manalo, Opalesque Asia: Success in marketing a fund is not linked to the performance, but to investor appetite, to the way you can market the fund, and to how much time you can spend to raise assets, said Antoine Rolland, the CEO of incubator and seeding firm

  3. Opalesque Exclusive: Loeb, Grantham cite growing economic concerns in letters[more]

    Bailey McCann, Opalesque New York: Hedge fund manager Daniel Loeb, head of Third Point, and Jeremy Grantham of Grantham, Mayo, Van Otterloo & Co. have both released their quarterly investor letters today. While news is positive on some fronts, and both men see pockets of opportunity, they also h

  4. Investing – Hedge funds expect Netflix earnings to catapult forward, Third Point's Loeb takes stakes in Fibra Uno, YPF, Royal DSM, Lake Capital in talks to back Engine Group[more]

    Hedge funds expect Netflix earnings to catapult forward From Investing.com: Netflix has made major strides forward in 2014 despite ongoing battles with the FCC and cable companies over the issue of net neutrality. The FCC has now received over 500,000 comments from the public on its pend

  5. Hedge fund manager Winton Capital making headway with long-only strategy[more]

    From PIonline.com: North American investors are helping Winton Capital Management Ltd. make progress — albeit slowly — toward its founder's goal of becoming a $100 billion company. The firm's ticket to quadrupling its assets under management is unlikely to be one of its scientifically designed manag