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

Opportunity to extract alpha from structured credit 'now much more difficult'

Friday, April 11, 2014

amb
Fernando Guerrero
Benedicte Gravrand, Opalesque Geneva for New Managers:

Structured credit went out of fashion in 2008, then back again four years later. The asset class still offers attractive rewards for the bold, yet sagacious investor. A hedge fund manager with 27 years of experience in structured finance gives his perspective.

The term "structured credit" either frightens or excites depending on whether an investor is reflecting on the first couple years of the most recent financial crisis or looking forward to this year, wrote PIMCO, the biggest bond fund house (now with around $1.9tln in Aum), in early 2012. The firm went on to say that structured credit products had again attractive risk adjusted return potential as pricing reflected a more realistic view of the underlying fundamentals. That same month, Investcorp, a manager of alternative investment products with $10.5bn in AuM, had their own report saying, "We believe that notwithstanding the weak economy, there is a compelling multi-year investment opportunity for hedge funds that specialize in structured credit." Structured credit offers the steady stream of interest payments that are now in high demand thanks to the Fed’s monetary policy,......................

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: New systematic strategy managed alongside research firm outperforms S&P500[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: An emerging CTA manager explains how he runs his strategy, which is based on an index produced by a research firm. Peter Turk is head of

  2. Larry Robbins' hedge fund Glenview buys 1m Tenet Healthcare shares[more]

    Komfie Manalo, Opalesque Asia: Glenview Capital Management said it bought an additional 979,482 shares at Tenet Healthcare Corp valued at $53.80 million, raising its stakes in the healthcare services company to 15.16%, reported

  3. Legal - Grayson’s hedge funds under scrutiny for possible ethics violations, Court rejects hedge fund’s motion to block merger of Samsung affiliates[more]

    Grayson’s hedge funds under scrutiny for possible ethics violations From Freebeacon.com: Rep. Alan Grayson is finding himself in hot water over managing hedge funds that bear his name, actions that are in possible violation of House ethics rules. Sitting members of Congress are prohibite

  4. Hedge funds panic over Greece[more]

    Komfie Manalo, Opalesque Asia: Some investors are in panic mode as Greek Prime Minister Alexis Tsipras announced Sunday night that the banks and the stock market would be closed Monday, said

  5. Alternative investment industry could grow to $13.6tln in five years[more]

    Komfie Manalo, Opalesque Asia: Leading auditing and advisory group PwC said that the global alternative investment industry, which includes hedge funds, private equity and real assets, is set to increase to $13.6tln within the next five years. "Be

 

banner