Fri, Jul 3, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Cerulli: Competition intensifies with alternative managers entering the retail space

Wednesday, July 24, 2013
Opalesque Industry Update - According to new research from Cerulli Associates, a Boston-based global analytics firm, the competition within the liquid alternative space has intensified with alternative managers entering the retail space.

Alternative Products and Strategies 2013: Identifying Enduring Opportunities in Complex Markets is a comprehensive sourcebook for asset managers that manufacture and distribute alternative products in the U.S.

"Demand for alternative assets has heated up. Investors and advisors look to these assets to provide portfolio diversification, enhanced returns, and to manage risk," states Pamela DeBolt, senior analyst at Cerulli Associates.

Over the past decade, more traditional asset managers have been steadily crossing over into the alternatives space. Firms are developing alternative asset products or acquiring alternative asset businesses to augment their traditional fund offerings and diversify their revenue sources.

"As investors' appetites for alternative investments continue to grow, asset managers have been broadening the options available," explains Michele Giuditta, associate director at Cerulli Associates. "Asset managers are developing alternative assets in a liquid '40-Act mutual fund format for retail investors."

Opportunities for hedge fund managers to cross over into the liquid alternative mutual fund space have accelerated since the financial crisis of 2008.

Cerulli research shows that most firms have built their alternative businesses internally, while one-third have expanded into alternatives through hiring subadvisors. In 10 years, managers surveyed by Cerulli anticipate that on average, alternative mutual fund assets will account for 13.6% of total mutual fund assets, up from 2.2% at the end of 2012.

"Managers should be aware of the unique distribution requirements of alternative funds versus traditional funds," Giuditta continues.

press release

www.cerulli.com


Recent related coverage:

18.07.2013 Infovest21 study shows trend of more big names launching 40 Act funds

17.07.2013 Blackstone to launch first alternative investment-focused mutual fund

25.06.2013 Hedged mutual funds become the dominant vehicle for advisors and institutions looking at alternatives

Bg

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. Opalesque Exclusive: New systematic strategy managed alongside research firm outperforms S&P500[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: An emerging CTA manager explains how he runs his strategy, which is based on an index produced by a research firm. Peter Turk is head of

  2. Opalesque Exclusive: New systematic strategy embraces machine learning[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: The founder of a New York-based systematic trading firm, which offers a hybrid between alpha strategies and alternative feta at lower fees, describes his approa

  3. Larry Robbins' hedge fund Glenview buys 1m Tenet Healthcare shares[more]

    Komfie Manalo, Opalesque Asia: Glenview Capital Management said it bought an additional 979,482 shares at Tenet Healthcare Corp valued at $53.80 million, raising its stakes in the healthcare services company to 15.16%, reported

  4. Legal - Grayson’s hedge funds under scrutiny for possible ethics violations, Court rejects hedge fund’s motion to block merger of Samsung affiliates[more]

    Grayson’s hedge funds under scrutiny for possible ethics violations From Freebeacon.com: Rep. Alan Grayson is finding himself in hot water over managing hedge funds that bear his name, actions that are in possible violation of House ethics rules. Sitting members of Congress are prohibite

  5. Hedge funds panic over Greece[more]

    Komfie Manalo, Opalesque Asia: Some investors are in panic mode as Greek Prime Minister Alexis Tsipras announced Sunday night that the banks and the stock market would be closed Monday, said

 

banner