Komfie Manalo, Opalesque Asia:
German fund allocators are looking at opportunities in a number of strategies, including corporate bonds and equities. That was the comment given by Ahmet Peker, who manages the fund of hedge funds at Deka Investment during the latest Opalesque Frankfurt Roundtable 2014.
The Roundtable, sponsored by Eurex and tax and legal consultant WTS, took place in Frankfurt at the office of WTS.
"This is a very difficult environment for fixed income strategies in general," said Peker and added, "Some, like corporate bond selection strategies, can be interesting because they are market neutral. They are not that dependent on the direction of yields. But in general, we have reduced our exposure to these strategies.
Peker is also positive for equity stock selection strategies, although those took a hit over the last couple of months. Peker said he thinks the market behavior he had observed over the last four, five years, where the markets would just be in risk-on or risk-off modus, has changed over the last 12 months. "The markets are again differentiating more between good stocks and bad stocks, so we are optimistic for stock selection. Emerging markets got hit over the last 18 month......................
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