Fri, Sep 30, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Deutsche Bank Alternatives Survey finds 80% of investors say they will not allocate to managers who have gated funds

Tuesday, March 16, 2010
Opalesque Industry Updates - Deutsche Bank announced the results of its eighth annual Alternative Investment Survey. Survey respondents represent asset management companies, corporations, family offices, high net worth individuals, foundations, endowments, fund of funds, insurance companies, investment consultants, private banks and private and public pension plans. The Bank’s Hedge Fund Capital Group, within its Global Prime Finance business, conducted the survey during January 2010.

“In 2009, the hedge fund industry experienced its best annual performance in a decade, and investors predict continued strength in 2010,” said Barry Bausano, Co-Head of Global Prime Finance. “Investors predict inflows of $222 billion this year, which would increase the total amount of hedge fund assets under management to approximately $1.722 trillion by 2011.”

“The hedge fund industry weathered the global financial crisis and matured as a result,” said Jonathan Hitchon, Co-Head of Global Prime Finance. “Risk management remains a top consideration for investors when assessing a hedge fund manager, and investors are increasingly using consultants to perform specialist operational due diligence.”

Highlights of Deutsche Bank’s Eighth Annual Alternative Investment Survey
52% of investors predict equity long/short to be one of the best performing strategies for 2010, and 51% believe they will increase their allocations to the strategy.

Survey participants are looking to reduce their cash levels over the next 6 months by $3.09 billion, and 29% have 10% or upwards of cash available to allocate to hedge funds.

While the hedge fund industry has proven resilient, investors have not forgiven management’s behavior during the crisis: 80% of investors will not make a new allocation to a manager who has frozen or suspended assets in the past. There is a continued appetite amongst investors for managed accounts: 14% currently use managed accounts and 26% of investors are likely to in the Investors remain reluctant to allocate to small start-up funds, with 50% requiring the start-up to have at least AUM $100 million before investing.

Corporate website: Source

kb

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
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. Eden Rock buys Gottex stake in ERG Asset Management[more]

    Matthias Knab, Opalesque: Eden Rock Group announced the purchase of Gottex’s stake in ERG Asset Management and so the firm is now wholly owned by Eden Rock. The two firms established the joint venture in 2011 to focus on providing cost effective solutions to funds holding illiquid investments, as

  2. "Hedge fund industry needs to shrink"[more]

    Komfie Manalo, Opalesque Asia: Writing for CNBC, Josh Brown, creator of The Reformed Broker blog and financial advisor for Ritholtz We

  3. Strategy - Voyager Management wants to invest in smaller hedge funds[more]

    From Valuewalk.com: Voyager Management, a $475 million fund of funds, is looking to downsize the hedge fund’s in which they invest, looking for smaller funds with assets under management that enable the fund to be nimble. The fund is looking for noncorrelation and will consider long / short equity

  4. Asia - Quant hedge funds are China's hot new export, Europe banks return to Korean brokerage market; target debt, alternative products[more]

    Quant hedge funds are China's hot new export From Bloomberg.com: Add China’s quant shops to the list of hedge funds branching out across Asian markets. Quantitative money managers from the world’s second-largest economy are opening offshore funds at a never-before-seen pace, according to

  5. Hedge funds pull back from Deutsche Bank[more]

    Bailey McCann, Opalesque New York: Hedge funds are pulling some of their business from Deutsche Bank, according to a Bloomberg report. People familiar with th