Sun, Aug 2, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Understanding the Great Rotation, Part 3

Friday, November 15, 2013

amb
Alexander Ineichen
Benedicte Gravrand, Opalesque Geneva:

This series of articles explores the concept of the Great Rotation, which was anticipated to be one of 2013’s themes, its reality and how it is viewed. Here we see that it is not just about investors rotating out of bonds and into equities.

Part 1 was in Wednesday’s AMB, Part 2 in Thursday’s. Part 4 will be published on Monday (Nov. 18th).

Two opposing rotations playing out simultaneously

Morgan Stanley’s latest blue paper, out last month and called "Great Rotation? Probably not," says rotational flows from bonds to equities will be more subdued than many expect.

"Our bottom-up analysis of $89 trillion of global AuM [about 60% is institutional money and 40% retail] suggests there are major structural headwinds to the 'Great Rotation’ story," the paper says, which adds that the concept of a 'Great Rotation’ simplifies nuanced demand dynamics at play.

Indeed, the authors think two opposing rotations may be playing out simultaneously: institutional investors are de-risking while retail investors are re-risking.

Since January this year, retail and HNW investors have reduced cash and increased r......................

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. Opalesque Exclusive: Despite bumpy June/July, CTAs hold on[more]

    Bailey McCann, Opalesque New York: To say that things have been rocky in managed futures recently is putting it mildly. In June, the industry saw its worst month on a performance basis in the past four years. Then yesterday,

  2. Investing - Hedge fund billionaires bet on London as revival gathers pace[more]

    From Bloomberg.com: London’s fund industry is bouncing back, and U.S. billionaires Steven A. Cohen and Ken Griffin are grabbing a piece of the action. Griffin’s Citadel and Millennium Management, a hedge fund run by Israel Englander, have bulked up in London, where asset growth is outpacing the U.S.

  3. Other Voices: Same day reporting and the evolving role of fund administrators[more]

    By: Scott Price, Head of Business Development and Client Management for North America, Maitland Ernst & Young’s latest glob

  4. Cowen Group, Inc. to acquire Conifer Securities[more]

    Cowen Group, Inc. and Conifer Securities, LLC had announced the signing of a definitive agreement under which Cowen will acquire Conifer Securities, the prime services division of Conifer Financial Services LLC. The transaction, the terms of which have not yet been disclosed, was approved by the boa

  5. Cargill’s Black River Asset to shut down four hedge funds[more]

    Komfie Manalo, Opalesque Asia: Cargill Inc.’s $7.4 billion Black River Asset Management said it was closing four hedge funds with a combined $ 1 billion in assets and start returning investors money over the next several months, various media said. The hedge funds represent 15% of Black River’

 

banner