Hans Hufschmid Opalesque Industry Updates – The GlobeOp Forward Redemption Indicator for December 2011 measured 4.58%, up from 3.44% in November.
“December 2011 is the lowest December since the Indicator began, just a fraction less than in 2010,” said Hans Hufschmid, chief executive officer, GlobeOp Financial Services. “The month-on-month increase is within the normal range of a seasonal pattern, as investors prepare to rebalance their portfolios at year end.”
The Indicator represents the sum of forward redemption notices received from investors in hedge funds administered by GlobeOp, divided by the AuA at the beginning of the month for GlobeOp fund administration clients. Forward redemptions as a percentage of GlobeOp assets under administration have trended significantly lower since reaching a high of 19.27% in November 2008. The next publication date is January 23, 2012.
Published on the 15th business day of the month, the GlobeOp Forward Redemption Indicator presents a timely and accurate view of the redemption pipeline for investors in hedge funds on the GlobeOp administration platform. Movements in the Indicator reflect investor confidence in their allocations to hedge funds. Indicator data is based on actual investor redemption notifications received. Unlike subscriptions, redemption notifications are typically received 30-90 days in advance of the redemption date. Investors may, and sometimes do, cancel redemption notices. In addition, the establishment and enforcement of redemption notices may vary from fund to fund.
Figures as of 30 November 2011
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