Sat, Dec 20, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

How fund of hedge funds houses Cube Capital, Signet have innovated since '08

Thursday, June 27, 2013

amb
Scott Gibb
Benedicte Gravrand, Opalesque Geneva:

The fund of fund space has seen significant changes since the financial crisis, and the less value-added methods have been disappearing. A couple of fund of hedge fund managers describe how their companies have been adapting to the post-2008 environment during the recent Opalesque UK Roundtable.

Scott Gibb, Partner and Portfolio Manager at Cube Capital, a $1.3bn alternative asset management business, said: "The so-called 'concierge' model whereby the fund of funds (FoF) simply provided access to hedge funds.... has been dis-intermediated by investment consultants to a large degree – they do research on large, brand name managers and make recommendations to large allocators as to which one to invest with, charging a small fee for the advice. This is rational as the 'concierge' fund of funds typically underperformed given their high and undeserved fees."

There are models that are still alive and that are thriving, he continues. The very large FoF, which offer lower fees, high diversity, low volatility products and managed accounts continue to attract assets. So do those which offer specialised products such as macro, fixed income, or emerging market products. They are different from concierge funds in that add value in such things as heightened transparency, extensive due diligence......................

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 - Big hedge funds win again on PetSmart, Riverbed, RBS sells real estate loans to hedge fund Cerberus, Talisman energy speculation: Which hedge funds could benefit?[more]

    Big hedge funds win again on PetSmart, Riverbed From CNBC.com: Another week, another set of wins for activist investors. On Sunday, pet supply retailer PetSmart agreed to the largest leveraged buyout of the year at $8.7 billion. Hedge fund firm JANA Partners had been pushing for a sale a

  2. Outlook - Hedge fund manager who remembers 1998 rout says prepare for pain, Bond guru Bill Gross predicts U.S. economic growth to dip to 2%[more]

    Hedge fund manager who remembers 1998 rout says prepare for pain From Bloomberg.com: Stephen Jen landed in Hong Kong in early January 1997 as Morgan Stanley’s newly minted exchange-rate strategist for Asia. He was soon working around the clock when investors began targeting the region’s

  3. Investing - Hedge funds get boost from healthcare in 2014, Paulson & Co takes stake in Salix on heels of inventory issues[more]

    Hedge funds get boost from healthcare in 2014 From Valuewalk.com: The healthcare sector started the year on a turbulent note, as stocks of many major biotechnology companies were battered. However, most of the players in this sector have bounced back. The BarclayHedge Healthcare & Biotec

  4. Opalesque Exclusive: U.S. legal receivables fund launched in August[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Investing in asset-backed receivables is a strategy that has been an integral part of the alternative investment space within the overall fixed income asset c

  5. Comment - High fees and low performance hit hedge funds[more]

    From FT.com: Disenchantment over high fees and lackluster performance may finally be turning the tide against hedge funds, fresh data suggest. Despite generally weak returns since the global financial crisis, hedge funds have enjoyed positive net inflows every year since 2010. This helped assets und