Mon, Feb 20, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Fast growth of liquid alternatives fuels hedge fund fee discussion

Tuesday, June 24, 2014

Komfie Manalo, Opalesque Asia:

Liquid alternative funds continue to show fast growth, said hedge fund information provider Infovest21. In its latest report, Infovest21 said in 2013, net flows for alternatives were $40bn, up from $14.6bn in 2012. So far this year through April, net flows are at $11.6bn.

Lois Peltz, president of Infovest21 and author of the report, said, "Liquid alts are still very early in the game. Fees have to get lower and track records need to get longer so that target date or stand-alone options are comfortable adding liquid alts as an option. Lower fees and longer track records will make it easier for DC professionals to be objective when considering it for their portfolio."

However, the report said liquid alternatives are a small mutual fund category representing only $150bn in assets i.e 1.3% of all mutual fund assets. The asset growth has largely been dominated by a few large firms such as MainStay Marketfield in the equity long/short category and AQR in the managed futures category. Yet, a number of other funds have seen consistent growth and have over $1bn in assets.

Other asset raising stand-outs in the past year, in alphabetical order, include: Arden and Blackstone have both raised over $1bn with their respective Fidelity relationship. Avenue Capital's Avenue Credit Strategies Fund, a global credit fund, raised over $1.7bn. BlackRock Global Long/Short Equity is at the $1bn mark......................

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. Europe - Brexit - Updated legal guide, Euro exchange rates set to tumble as hedge fund's super computer predicts Marine Le Pen will be next French president, Swiss fund market hits all-time high[more]

    Brexit - Updated legal guide From Herbertsmithfreehills.com: When we began analysing in depth the possibility of Britain exiting the EU (Brexit), 18 months prior to the June 2016 referendum, the business consensus was very much that Brexit was a remote prospect that either would never hap

  2. People - Gramercy appoints Bradshaw McKee as managing director of Capital Solutions, Trump taps Cerberus's Feinberg to lead intelligence review[more]

    Gramercy appoints Bradshaw McKee as managing director of Capital Solutions Gramercy Funds Management LLC, a $5.8 billion dedicated emerging markets investment manager, today announced the appointment of Bradshaw McKee to the position of Managing Director, Capital Solutions and Distressed

  3. Hedge fund investor redemptions accelerate through 2016[more]

    Despite hedge funds returning 7.40% over 2016, investors continued to withdraw capital over the year; the industry saw overall net asset outflows totalling $110bn in 2016. Preqin's latest research finds that the rate of redemptions accelerated through the year, from net outflows of $14bn in Q1 to $4

  4. Manager Profile - Eddie Lampert: a painful entanglement with Sears[more]

    From Moneyweek.com: "In the long run we are all dead." Lex in the Financial Times reached for the famous quote from John Maynard Keynes in January when, after a long and unforgiving decline, the clock finally appeared to be running out on Sears, the iconic US department store group. Yet the group's

  5. Investing - Hedge funds quit Aberdeen shorts as shares begin to recover, Hedge funds' next big short: U.S. malls, O'Connor fund owns 9.5% of Protalix Biotherapeutics, U.S. hedge fund takes position in Macau hotel The 13[more]

    Hedge funds quit Aberdeen shorts as shares begin to recover From Investmentweek.co.uk: The last two hedge funds to short Aberdeen Asset Management have removed their positions, as the fund group's shares begin to show signs of recovery after a difficult few years. According to the Financ