Sat, May 28, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing Weekly

Scepticism on hedge fund performance is growing: hedge fund news, week 52

Saturday, December 29, 2012

In the week-ending 28th December 2012, Future Capital Partners told FTAdviser it would be launching four enterprise investment scheme investments within entertainment and media, renewable energy, land allocation services and the alternative investment market.

The Parker FX index reported a +0.15% return for November 2012 (-1.53% YTD); The Morningstar MSCI Composite Hedge Fund Index went up 0.5% (est.) (4.8% YTD); And the Dow Jones Credit Suisse Hedge Fund Index finished up 0.64% (+3.27% YTD).

Hedge funds that invest in mortgage-backed securities gained 13.9% through November to make them the industry's best-performing strategy, according to the Absolute Return index; AlphaClone.com said the best performing hedge fund clones were two biotech funds, DAFNA and Ridgeback, followed by tiger cub Second Curve, a financials focused fund.

Sloane Robinson's flagship emerging markets fund is down 1.7% YTD after losing 17% last year, and the firm’s AUM is down to $2.5bn from a high of $15bn in ’08, said Reuters; RAB Capital saw its flagship fund lose 20% in November due to a losing position in an oil exploration company.

The Economist wrote a negative article about hedge funds’ performance in the last decade, pointing out the industry’s only trump card is its few star managers; Harold Ehrlich, adviser to JPMorgan's FoHF, told The FT that the reason for hedge funds’ underperformance is due to an addiction to momentum trading.

Forbes argued that John Paulson’s hedge fund firm, which assets grew to $36bn at the end of ’08 (and whose hedge funds were down 18% to 52% in 2011), is too big to manage; to which Value Walk retorted that if Paulson’s firm was too big to manage, Bridgewater (up 23% in 2011 and $120bn in AUM) and Brevan Howard (up 12% in 2011 and $34bn in AUM) would have lost too.

According to da......................

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. Performance - Hedge fund ETFs take a battering, Have long-short credit funds delivered?[more]

    Hedge fund ETFs take a battering From ETFStrategy.co.uk: It was a blow for the hedge fund world when Hillary Clinton’s son-in-law Marc Mezvinsky announced he would be closing his Greek-focused fund after it plummeted in value by 90%, just two years after it launched. For passive investor

  2. Ares Capital to buy American Capital in $3.4 billion deal[more]

    From PIOnline.com: Ares Management's business development company Ares Capital Corp. is buying troubled BDC American Capital for $3.43 billion, said a joint news release by the BDCs and another release by Ares Management. Ares Capital Corp.'s assets are expected to grow to about $13.2 billion when t

  3. Launches - Man Group and American Beacon launch new emerging debt fund, Nikko AM launches new Japan equity UCITS fund[more]

    Man Group and American Beacon launch new emerging debt fund American Beacon Advisors, an experienced provider of investment advisory services to institutional and retail markets, launched the American Beacon GLG Total Return Fund today. The Fund became effective May 20. The America

  4. Emerging markets hedge funds perform strongly, but capital base erodes[more]

    Komfie Manalo, Opalesque Asia: Latin American Emerging Markets and Russian hedge funds lead industry gains in the first months of 2016, posting strong performances through April as global and EM equity, commodity and currency markets surged in recent weeks following steep losses to begin the year

  5. Americas - Australian banks sending U.S. hedge funds broke, Ryan Puerto Rico ‘rescue’ bill could be windfall for hedge funds[more]

    Australian banks sending U.S. hedge funds broke From SMH.com.au: US hedge funds are not having the best of years. Profits are hard to find, they're underperforming and the punters are losing patience, withdrawing US$15 billion ($20.8 billion) in the March quarter. They're expected to wit