Sat, Jul 26, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

FRM’s Early View reports broad returns across hedge fund strategies in April

Thursday, May 09, 2013

Beverly Chandler, Opalesque London: The latest "Early View" from FRM, Man Group’s $16.7bn fund of hedge funds and managed accounts business, finds that investors entered April on the back of a strong first quarter for risk assets, supported by capital inflows into equities and a more benign economic landscape. For FRM there was concern that markets would follow the pattern of the previous three years, with a setback in the second quarter due to the re-emergence of economic issues.

"Our view has been that a possible catalyst for a Q2 correction would be a slowdown in the US growth story. Two core US economic indicators missed expectations in April – the change in non-farm payrolls at the beginning of the month (88k vs. expected 190k) and Q1 GDP towards the end of the month (annualised 2.5% vs. expected 3%), but equity markets finished in positive territory, as the S&P 500 Index returned 1.8% during the month."

The firm believes that the equity market resilience was driven by renewed sentiment around the willingness of central banks to provide markets with liquidity. "Explicitly, the aggressive monetary policy of the Japanese central bank led to the Nikkei rising by 11.8%, taking its YTD return to 33.3%, and other developed markets’ indices benefited by contagion. Implicitly, breakeven inflation in the US dropped substantially during April. It had been steadily increasing over 2013 leading to concerns over the potential......................

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. Opalesque Roundtable: European family offices struggle to retain their investments in offshore hedge funds[more]

    Komfie Manalo, Opalesque Asia: The European Union’s Alternative Investment Fund Managers Directive (AIFMD) will constrain investment opportunities amidst concern a number of U.S. fund managers will stop marketing their products in the European Union under the new rule, said Valentin Bohländer fro