Sun, Dec 17, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

LJM hedge fund says current volatility does not reflect potential threats

Thursday, May 15, 2014

Komfie Manalo, Opalesque Asia:

The $312m LJM Partners said there are strong support and resistance factors in the market, but the current volatility levels do not accurately reflect the potential threats.

In her monthly report to investors, Kelly McKean, who is in charge of managing the investor pipeline at LJM, said the investment management team emphasizes an opportunistic approach harnessing returns when the risk/reward profile is favorable, and exercising caution when risks outweigh potential rewards.

"Markets have been range‐bound but showed some sharp reversals. The charts of the most important equity indices showed sort of a V-shaped movement," she said and added, "On the way down in the first two weeks of the month Volatility attempted another short rally to 18% and returned again to the 'new normal’ 13-15% zone where it has resided most of the time since July 2012. LJM’s April returns were diluted by the fact that the volatility levels, the geo-political environment, and the domestic economic data did not support pursuing the same level of returns within the appropriate risk parameters.

At suppressed volatility levels, LJM’s risk constraints dictate lower short-term return targets. However, lower capital deployment creates more efficient use of capital when opportunistic market scenarios emerge, McKean said.

All LJM strategies posted modest gains in April. Based on the estimated YTD......................

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. Mediobanca acquires majority stakes in Swiss hedge fund[more]

    Komfie Manalo, Opalesque Asia: Listed diversified banking group Mediobanca SpA said it has acquired a majority stake in Geneva-based hedge fund firm RAM Active Investments SA (RAM AI), an active and alternative asset manager offering a range of act

  2. Launches - Ex-BlueCrest team to open over $200m hedge fund, Greg Coffey, a hedge fund star who retired at 41, is eyeing a comeback, Brevan Howard plans Greek funds as bond rally signals revival[more]

    Ex-BlueCrest team to open over $200m hedge fund From Bloomberg.com: A team of traders who left BlueCrest Capital Management earlier this year raised more than $200 million for their own hedge fund focused on Asian stocks, according to a person familiar with the matter. Ovata Capital Manag

  3. North America - Miami could attract hedge funds if SALT deductions axed[more]

    From Law360.com: For years, inertia has been Nitin Motwani's greatest foe in his attempts to lure hedge fund owners in the northeast to Miami, which he has pitched as a tropical low-tax paradise. But with the Republican tax bill proposing to eliminate deductions for state and local taxes, he's sensi

  4. Northleaf Capital Partners closes debut private credit fund on $670M[more]

    Bailey McCann, Opalesque New York: Northleaf Capital Partners has closed its debut private credit fund - Northleaf Private Credit I - on $670 million. The vehicle will invest in private credit transactions in Europe and North America, with a primary focus on lending to private equity-backed compa

  5. ...And Finally - The ongoing gun saga in the U.S.[more]

    From Newsoftheweird.com: As elder members of the First United Methodist Church in Tellico Plains, Tennessee, gathered on Nov. 16 to discuss the recent church shooting in Sutherland Springs, Texas, one of those present asked if anyone had brought a gun to church. One man spoke up and said he c