Tue, Mar 19, 2024
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
Alternative Market Briefing

The treasury function of a long/short hedge fund now more important than ever

Friday, April 13, 2018

Komfie Manalo, Opalesque Asia:

The treasury function for any long/short fund has become increasingly more important since 2008 no matter the asset class, said Rick Doucette, CEO and CIO of Antecapio Investment Partners.

But what is the treasury function of a hedge fund? Says Doucette: "The treasury function to me is not just about going to go to Goldman Sachs and pulling one of the guys out of their stock loan area. To me, you want to find people that really understand the concept of what is the best approach to finance a position."

Speaking at the latest Opalesque Connecticut Roundtable, Doucette said that fund managers need to think about how they can best structure a short when looking at borrows. Unlike in the early days where everybody had one prime; now it's not uncommon for people to have two at a minimum, and many fund managers have three to five.

And, "every bank's lending business is different. Some Banks, for instance, use the options market to facilitate a lot of their supply because the people running the desk are option and derivatives guys. In the traditional approach, banks borrow from custodian banks or directly from large institutional investors. Or they may use a combination of the custodian banks / institutional investors as well as their private wealth management business. So you have to know where and how they source their business. You need to look at what ......................

To view our full article Click here

Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. KKR raises $6.4bn for the largest pan-Asia infrastructure fund[more]

    Laxman Pai, Opalesque Asia: The New York-based global investment firm KKR has raised a record $6.4bn for its second Asia-focused infrastructure fund, underlining investors' continued appetite for private markets. According to a media release from the alternative assets manager, the figure top

  2. Bucking the trend, top hedge fund makes plans for a second SPAC[more]

    From Institutional Investor: SPACs aren't dead. At least not to the folks at Cormorant Asset Management. The life sciences firm, whose hedge fund topped its peers in 2023, is confident it will match the success of its first blank-check company. Last week, the life sciences and biopharma speciali

  3. Benefit Street Partners closes fifth fund on $4.7 billion[more]

    Bailey McCann, Opalesque New York: Benefit Street Partners has closed its fifth flagship direct lending vehicle, BSP Debt Fund V, with $4.7 billion of investable capital across the strategy. Benefit Street invests primarily in privately originated, floating rate, senior secured loans. The fun

  4. 4 hedge fund themes that are working in 2024[more]

    From The Street: A poor earnings report from Tesla (TSLA) has not hurt the indexes on Thursday. The decline in Tesla stock, which is losing its position in the Magnificent Seven pantheon, is more than offset by strong earnings from IBM (IBM) and ServiceNow (NOW) . In addition, the much higher-t

  5. Opalesque Exclusive: A global macro fund eyes opportunities in bonds[more]

    Bailey McCann, Opalesque New York for New Managers: Munich-based ThirdYear Capital rebounded in 2023, following a tough year for global macro. The firm's flagship ART Global Macro strategy finished the year up 1