Mon, Jan 26, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge fund managers see Asia-focused funds cheaper by 43%

Tuesday, December 10, 2013

Komfie Manolo, Opalesque Asia:

The majority of hedge fund managers in North America, Europe and Asia believes that running a hedge fund in the Asia-Pacific region is cheaper by some 42% compared to operating the same in Europe or the U.S., mainly because of lower-than-average salaries in the region.

A survey of 124 hedge fund managers in North America, Europe and Asia with an aggregate assets of $465bn by Citigroup also found that small funds in the Asia-Pacific region face a major challenge, particularly in raising revenues and expanding its assets.

Bloomberg quoted Citigroup as saying, "A critical success factor in the launch of a hedge fund is the size of assets under management at launch. Small fund launches in Asia have demonstrated a statistically reduced chance of accelerated assets under management growth."

Asian hedge fund managers are also faced with the pressure to cut fees, together with their Western counterparts, to attract investors and raise assets amidst rising costs due to compliance with new regulations. Data showed that the average Asian hedge fund launches this year raised $8m compared to about $25m before the 2008 global financial crisis.

The report added, "It is likely that, initially, any excess cash may need to be reinvested into the business to ensure an institutional-grade infrastructure is in place......................

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. Commodities - Druckenmiller alums at PointState make $1 billion on oil, Andurand Capital sees oil sliding to $40[more]

    Druckenmiller alums at PointState make $1 billion on oil From Bloomberg.com: Hedge fund manager Zach Schreiber stood on stage at Avery Fisher Hall in New York eight months ago and made a bold prediction. “We believe crude oil is going lower -- much lower,” Schreiber, 42, told the audienc

  2. Investing - David Einhorn discloses a new position in Time Warner, Canyon trimming bets on mortgage bonds after making $7bn[more]

    David Einhorn discloses a new position in Time Warner From FTLeavenworthlamp.com: …Einhorn also disclosed a new position in Time Warner. "Since 2009, TWX has refocused its business into a collection of high quality assets including basic cable networks (Turner and CNN), a movie studio (

  3. Top performing private equity firms you should invest in[more]

    Komfie Manalo, Opalesque Asia: Professor Oliver Gottschalg of Paris-based HEC Business School, also known as Ecole des Hautes Etudes Commerciales de Paris has released his annual ranking of the top performing private equity firms. The 2014 HEC-DowJones Private Equity Performance Ranking

  4. Comment - Why invest in hedge funds if they don't outperform the market?[more]

    From Forbes.com: Hedge funds have always been a bit exotic and an enigma to some, but bottom line they are supposed to produce good returns using a range of strategies including global macro, event driven and relative value (arbitrage). And, sophisticated or high-net-worth individuals (HNWIs) could

  5. Owen Li 'truly sorry' for blowing up $100m of hedge fund’s assets[more]

    From CNBC.com: A hedge fund manager told clients he is "truly sorry" for losing virtually all their money. Owen Li, the founder of Canarsie Capital in New York, said Tuesday he had lost all but $200,000 of the firm's capital—down from the roughly $100 million it ran as of late March. "I take r