Sun, Nov 23, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Emerging market long/short managers with low net exposure help investors to curb losses (Part 2)

Thursday, March 06, 2014

Komfie Manalo, Opalesque Asia:

Emerging markets had a very turbulent start in 2014 as a result of the massive depreciation of the Argentinian Peso (-22%) and Turkish Lira (-9%), said Asian hedge fund specialists GFIA. Entering 2014, Russian and Brazilian (Brazil Bovespa: -10.4%) stock markets slumped near 10% and Turkey, South Africa, Chile and Mexico tumbled 8%, 4%, 8% and 7% respectively.

"Brazil has taken the negative lead due to its domestic environment, which is still marked by uncertainties relative to the developments of the fiscal and monetary policies," GFIA said in its January report. It added that Latin America managers generated a wide spectrum of returns. The portfolio manager for Brasil Capital (-12.3%) holds bleak views towards the market’s short term development while he believes strongly in the substantial medium to long term value of their portfolio companies.

Long short managers running a low net exposure generally painted a less ghastly return picture. BNY Mellon ARX Brazil Fund limited its loss to 2.0% with the help of its short positions and relatively low net exposure of 32%, GFIA said.

The reports said MENA was the only positive emerging market this month as the positive sentiment in 2013 continued into the New Year. MSCI Arabian Market ex SA closed up 3.7% while the S&P Pan Arab Index went up 4.1%. The Egyptian bourse was also up 9.2% as a new constitution was approved, paving way for......................

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. Legal - Hedge fund manager fights £8m tax tribunal ruling[more]

    From FT.com: A hedge fund manager who may have to repay £8m in tax is trying to overturn a tribunal ruling that found he had attempted to shelter millions in an avoidance scheme. Patrick Degorce, chief investment officer at Theleme Partners, lost a tax tribunal case last year. HM Revenue & Customs c

  2. Europe - Hedge funds face exit tax as Iceland central bank discusses plan[more]

    From Bloomberg.com: Hedge funds and other creditors with claims against Iceland’s failed banks face an exit tax as the island looks for ways to unwind capital controls without hurting the economy. The government targets having a plan it can present by year-end that would map out how Iceland will sca

  3. Investing - George Soros puts $500m of his money on Bill Gross, Soros, Paulson backed Hispania Activos mulls Realia takeover, Ex-Credit Suisse trader’s hedge fund sees yen shorts as crowded, Hedge hunters double default-swaps as views split, Large hedge fund positions come under pressure, Vikram Pandit's fund picks 50% stake in JM Financial's realty lending arm for $87m[more]

    George Soros puts $500m of his money on Bill Gross From WSJ.com: Before Bill Gross was fully settled in at his new firm, Janus Capital Group Inc., he received an unlikely visit from the chief investment officer of famed investor George Soros ’s firm, according to a person familiar with t

  4. Opalesque Exclusive: Gray Ghost Ventures aims to make impact investing commercially viable[more]

    Bailey McCann, Opalesque New York: At a time when investing in emerging markets may be falling out of fashion among some investors, Gray Ghost Ventures is confident that great opportunity exists in the emerging markets. The firm may have a unique view into this space as one of the first private

  5. Gross: Inflation is required to pay for prior inflation[more]

    Benedicte Gravrand, Opalesque Geneva: As inflation rises, every dollar will buy a smaller percentage of a good. While deflation will mean a decrease in the general price level of goods and services. These two economic conditions are both in the waiting room. The consensus would like the former to