Thu, Apr 17, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

SEB: Global imbalances will benefit hedge funds, 'asset class is highly useful in portfolio-building'

Wednesday, December 01, 2010
Opalesque Industry Update - Here is an overview of SEB's latest comment on hedge funds:

- The difficulty for hedge funds has been to find the right risk level and thereby create the conditions for generating returns. The financial market is offering a climate favourable to hedge funds, with a number of themes that managers could take advantage of in order to generate value

- The market situation is favourable for hedge funds that can employ several different asset classes to generate value. We note that Global Macro managers are mainly using currencies and fixed income securities to generate value. We also see that they have begun to take more risks than they did during the first half of 2010

- We foresee diminishing opportunities for Distressed strategies, and our advice is to start being cautious about them. For those who want to invest in this type of hedge funds, we prefer broader Event Driven or Merger Arbitrage funds

- On the whole, we regard the potential for hedge funds as good, and we believe that this asset class is highly useful in portfolio-building.

SEB’s two-page article “Global imbalances will benefit hedge funds” can be downloaded from Opalesque: Source


SEB is a Northern European financial group: www.seb.se


Bg

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Banner
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. CTAs could face new challenges in a rising rates environment[more]

    Bailey McCann, Opalesque New York: CTAs have taken a beating performance wise lately, and asset flows reports show that investors aren't sticking around to see how the movie ends. Now, a new white paper from Roy Niederhoffer and Coen Weddepohl notes that as interest rates start to tick back u

  2. Investing – Big hedge funds bought Puerto Rico's junk bonds, Fidelity explores new trading venue amid flash trade concerns, Crisis-era Greek bonds reward early buyers with big effective returns, Cargill unit discloses stake in Freddie preferred[more]

    Big hedge funds bought Puerto Rico's junk bonds From Reuters.com: Several large hedge funds doubled down on Puerto Rico in last month's giant bond sale despite the U.S. territory's financial struggles, the Wall Street Journal reported, citing confidential documents reviewed by the newspa

  3. Opalesque Exclusive: Classic Auto Funds Limited (CAF) launches several car investing funds[more]

    Bailey McCann, Opalesque New York: A new trend in alternative alternatives is emerging - car appreciation funds. Classic Auto Funds Limited (CAF) is the first to market with several funds that make super elite luxury cars into real asset investments. As a result of growing overseas demand couple

  4. Commodities – Popular value fund manager David Iben bets on Russia, gold,[more]

    From Reuters.com: With large bets on Russia and North American gold miners, one of the best performing stock pickers in the wake of the 2008 financial crisis is back with a new fund that reflects his deep aversion to following the crowd. In the Kopernik Global All-Cap Fund, David Iben is follo

  5. Opalesque Exclusive: Pensions, endowments, family offices reconsider life settlement investments[more]

    Bailey McCann, Opalesque New York: Hedge funds were once the largest investors in the life settlement industry, now the industry is seeing more interest from pensions, endowments and family offices directly. Life settlements have always been considered a niche part of the investing landscape, an