Mon, Jul 24, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

FoHFs managers look to liquidity - S&P

Tuesday, July 13, 2010
Opalesque Industry Update - Building on decent absolute performance in the second half of 2009, funds-of-hedge-funds(FOHFs) managers have continued to improve liquidity in portfolios, maintaining significant allocations to long/short equity hedge and global macro.

“FOHFs managers have taken a variety of steps to improve liquidity in portfolios, including investing with hedge fund managers by way of managed accounts, restricting investment to the more liquid strategies, and setting up new funds-of-funds that invest in Ucits III-regulated products,” notes S&P Fund Services lead analyst, Randal Goldsmith.

Reacting to these changes in investment approach, and acknowledging the important role these new vehicles play for investors in the current low-interest rates environment, S&P Fund Services has created a new fund group within its FOHFs’ Directory, containing five Ucits III-regulated funds-of-funds, and a UK-authorised fund-of-alternativeinvestment- funds (FAIF).

Looking forward, despite a lack of strong consensus from FOHFs managers about strategies, there was some agreement that low-beta equity hedge could do well. “FOHFs managers we spoke to have mixed views, but a number think that low-beta equity hedge fund managers should do well,” commented Goldsmith. “Permal's Robert Kaplan makes the point that we have had two years of stock returns driven almost entirely by market direction, during which there has been limited differentiation by stock-specific issues. This leaves good opportunities for stockpickers, in his opinion.”

This year, for the first time, S&P Fund Services has reviewed all funds at the same time to better compare FOHF performance records. It continues to look at FOHFs against their own objectives, but 2008 threw many off course, and so it has been necessary to take a closer look at a FOHF's performance relative to other funds with a similar approach and strategy mix.

Click here to download the full report "Funds-of-hedge-funds Sector Overview July 2010": Source

Corporate website: standardandpoors.com

- FG

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. Already above average, Singapore high-networth investors add hedge funds and alternative investments[more]

    Komfie Manalo, Opalesque Asia: An above-average proportion of Singaporean HNW wealth is allocated to alternative investments - the majority of which is held in hedge funds, according to the latest research by ReportLinker. In its report entitled, Wealth in Singapore: HNW Investors 2017

  2. Launches - Crypto boom: 15 new hedge funds want in on 84,000% returns, Crypto madness is striking VCs as Union Square analyst leaves to start new fund[more]

    Crypto boom: 15 new hedge funds want in on 84,000% returns From Forbes.com: With 43 projects raising $1.2 billion in initial coin offerings since May 1, according to Nick Tomaino's The Control, and with stratospheric returns for so many ICOs -- 82,000% for Ethereum, 56,000% for IOTA, 44,

  3. FinTech - The machines are coming... Elon Musk's grim warning, Tezos' $232 million ICO may just be the beginning, A gentle introduction to Initial Coin Offerings (ICOs), Billion dollar tokens, ICOS & crazy market swings WTF is going on!?, How AI is changing the way we invest, How the tech revolution is bringing flip-flops and beanbags to Wall Street, A 'machine-learning' approach to venture capital[more]

    The machines are coming... Elon Musk's grim warning From Tenplay.com.au: Tesla chief Elon Musk has called on US Governors to take 'decisive' action to curtail "the greatest risk we face as a civilization": Artificial Intelligence, or AI. Speaking at a meeting of the National Governor Ass

  4. News Briefs – Sears inks $200 million credit line from CEO Eddie Lampert's hedge fund, shares jump 9%, Rwanda: Global hedge fund to increase investments[more]

    Sears inks $200 million credit line from CEO Eddie Lampert's hedge fund, shares jump 9% Sears Holdings has landed a fresh line of credit, valued at $200 million, from its CEO Eddie Lampert's hedge fund, the retailer said Monday. Sears' stock climbed about 9 percent higher Monda

  5. Despite current limits, robo-advisors will be preferred investment solution for retail, gain importance for affluent and high net worth[more]

    Matthias Knab, Opalesque: Flynt, a Swiss FinTech focusing on proprietary technology platform for private and institutional clients, has published a brief paper on "Investing in the world of robo-advice and passive instruments". As investors will become more reluctant to pay for investment advi