Sat, May 23, 2015
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. Comment - Top hedge fund managers talk about how easy their jobs have gotten, BlackRock to Schroders warn of Argentina’s $20bn bond glut, The 35-year “investment supercycle” is drawing to a close, says Bill Gross, Gundlach: When the Fed starts hiking rates, 'GET OUT' of this asset class[more]

    Top hedge fund managers talk about how easy their jobs have gotten From Businessinsider.com.au: Time was, before the financial crisis hit, corporate boards treated multi-billion dollar hedge fund managers like Jehovah’s Witnesses pounding on their doors and flashing bibles. But no more.

  2. T Rowe's challenge to Dell deal may fuel critics of 'appraisal'[more]

    From Reuters.com: An increasingly popular tactic used by hedge funds and others to extract more money from buyouts could soon face a major courtroom test when a big investor in Dell Inc may argue that it should be paid a higher price for the 2013 acquisition of the PC maker. The strategy, known as "

  3. News Briefs - Ergen says LightSquared plan unfairly favors hedge funds, Why hedge fund managers make good advisory clients, I learned a lot about dad-bros after spending 4 days in Vegas with 2,000 hedge funders[more]

    Ergen says LightSquared plan unfairly favors hedge funds LightSquared Inc.’s bankruptcy plan gives hedge funds that invested in the broadband company a leg up while blocking telecommunications firms from competing with it, a fund owned by Dish Network Corp. Chairman Charles Ergen said in

  4. Opalesque Exclusive: SEC approves proposed changes to Form ADV, '40 Act - comment period to follow[more]

    Bailey McCann, Opalesque New York: Hedge funds and providers of liquid alternatives will want to pay close attention to proposed reforms approved by the SEC yesterday. The changes will require more frequent reporting, as well as a closer look into social media, liquid alternative strategies, and

  5. New market regime has created more dispersion between managers[more]

    Komfie Manalo, Opalesque Asia: The month of April has marked the transition toward a new market regime, Philippe Ferreira, Lyxor AM’s head of research, managed account platform, commented in the May 5's Weekly Briefing. "The first quart

 

banner