Mon, Apr 23, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

AIMA examines the role that hedge funds can play in institutional portfolios in new paper

Thursday, May 23, 2013

Benedicte Gravrand, Opalesque Geneva: - The Alternative Investment Management Association (AIMA)’s Investor Steering Committee surveyed some of the most important institutional investors in hedge funds globally, with combined assets of more than $400bn, and produced a paper called 'Beyond 60/40: The evolving role of hedge funds in institutional investor portfolios.’

Here is some of what they found from this survey:

  • Institutinal investors are leaving behind the traditional 60% equities/40% bond model and adopting alternatives more (hedge funds in particular);
  • Reasons for using hedge funds are their risk-adjusted returns, diversification, lower correlations, lower volatility and downside protection;
  • Hedge funds are more and more seen as a way to access opportunities and tailor portfolios, rather than as a separate asset class;
  • Most of those surveyed have increased their hedge fund allocations since the recent crisis, and most are planning to continue to do so;
  • Due diligence on hedge funds is becoming more time-consuming, sometimes lasting up to two years;
  • Investors are happy about hedge funds’ increased transparency, although some are wary of being given too many unnecessary details;
  • They are also happy about the increased hedge fund regulation, although some are concerned about the costs, and the rest......................

    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. Investing - Sequoia takes Facebook stake as shares slide in data controversy, $1.4b hedge fund sees intact fundamentals for Facebook, Jim Cramer reveals some 'suggested hedge fund trades' amid the Trump tariffs[more]

    Sequoia takes Facebook stake as shares slide in data controversy From Bloomberg.com: The $4.2 billion Sequoia Fund bought a small position in Facebook Inc. as the stock slid late in the first quarter, investment manager Ruane, Cunniff & Goldfarb told clients. "The recent controversy enab

  2. Activist Investors - Blue Sky-owned Wild Breads faces uncertain future[more]

    From AFR.com: A Blue Sky private equity investment in artisan-style baker Wild Breads enjoyed multiple valuation upgrades despite losing millions and breaching its lending covenants, accounts lodged with the regulator last week show. Wild Breads lost $2.4 million in 2017, but Blue Sky ascribed a hig

  3. Opalesque Exclusive: Barnegat to close hedge fund to outside investors on weak opportunities[more]

    Komfie Manalo, Opalesque Asia: Bob Treue's Barnegat Fund Management said it is closing its $666m fixed income relative value hedge fund to outside investors. "The negative side to gains in Fixed Income Arbitrage is that unless we find new opportunit

  4. Investing - Hedge fund makes a big bet on malls, British hedge fund manager Odey short UK government bonds on QE bet[more]

    Hedge fund makes a big bet on malls From Barrons.com: The dominant narrative on American shopping malls is that they're dead. Crushed by Amazon.com, many brick-and-mortar retail stores are destined for bankruptcy. And where is the most retail, clustered all together? Malls. From a

  5. Performance - Hedge funds suffer first back-to-back loss in two years, Netflix performance burns hedge fund short sellers, Macro hedge fund up 14.5% in first quarter sees dollar falling, Renaissance Technologies rebounds across hedge funds in March[more]

    Hedge funds suffer first back-to-back loss in two years From Bloomberg.com: Hedge Fund returns sank for a second straight month in March, the first back-to-back loss since the first two months of 2016, as trade wars, tech-sector woes and a Fed rate hike dragged down the S&P 500 from its