Fri, Oct 9, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge fund asset flows turn negative in the second quarter

Friday, July 19, 2013

Bailey McCann, Opalesque New York:

June redemptions turned Q2 flows negative and flows for the first half of 2013 are the second slowest in the last ten years lagging only 2009 in the aftermath of the financial crisis, according to new data from eVestment. Macro funds outflows were the key to June’s redemptions. Mediocre performance resulted in persistent outflows for managed futures funds through the second half of 2012 and most of 2013, the same fate appears to have caught up to macro strategies.

Investors withdrew approximately $10.1bn during the month. Asset weighted performance was the lowest in 21 months, and overall industry AUM dropped by 2.5% to $2.656tn. Overall for the quarter, investors have removed $4.3bn.

The long-term trend of redemptions from equities and allocations to credit returned in June. This may be another consequence of the convergence between the traditional and the hedge fund sectors. Where exposures and approaches have meaningful overlap (fundamental equity valuation), institutional investors may be comparing traditional with alternative investments and in some cases opting for the former.

Credit strategies rebounded overall after a dip in May, reflecting trends noted yesterday, by leading hedge fund managers. Investors and funds continue to be positive on areas of s......................

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 - AQR Capital and Renaissance Technologies raise stakes in Southwest Airlines[more]

    From In the previous part of this series, we saw how institutional investors played Southwest Airlines (LUV) in 2Q15. Now let’s move on to the trades executed by key hedge funds in Southwest Airlines over the same period. … Most of the hedge funds that had significant exposu

  2. Manager Profile - Pimco alternative funds flourish as 30-year bond rally fades[more]

    From Inside Pacific Investment Management Co., the bond behemoth that lost two chief investment officers last year and saw almost $500 billion of client money leave, a hidden profit engine is easing some of the pain. For more than a decade, Newport Beach, California-based Pimco has qu

  3. Niche Investing - Art investment funds: Attracting institutional and other new investors[more]

    From The Deloitte/ArtTactic Art and Finance Report 2014 (the "Art and Finance Report") noted that the "global art investment fund market was estimated to be worth at least $1.26 billion in the first half of 2014." This seems almost inconsequential when juxtaposed with the $54 billion of

  4. Hedge fund Barnegat survives September’s market selloff[more]

    Komfie Manalo, Opalesque Asia: Bob Treue’s $679 million Barnegat Fund proved resilient after another month of market letdown as the hedge fund gained 2.2% last month, bringing its year-to-date gains to 2.8%. Treue said in his monthly report to i

  5. …And Finally - Japanese men want upgrade on their virtual girlfriends[more]

    From Five years after News of the Weird mentioned it, Japan's Love Plus virtual-girlfriend app is more popular than ever, serving a growing segment of the country's lonely males -- those beyond peak marital years and resigned to artificial "relationships." Love Plus models (Rinko