Tue, Jul 26, 2016
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: California-based manager launches long/short equity hedge fund with unique algorithm[more]

    Benedicte Gravrand, Opalesque London for New Managers: SJL Capital LLC, an investment advisory firm based in California, has launched its maiden fund, the SJL MarketDNA Hedge Fund LP. The fund, which began trading

  2. Manny Roman to move from Man to Pimco[more]

    Benedicte Gravrand, Opalesque London: Emmanuel (Manny) Roman, an investment world veteran, has been hired by PIMCO, the large US bond fund house, as chief executive officer. PIMCO's current CEO Douglas Hodge will assume a new role as managing director and senior advisor when Roman joins P

  3. Opalesque Exclusive: ArbitrOption outperforms benchmarks, up 7.18% in H1[more]

    Komfie Manalo, Opalesque Asia: Independent registered advisor ArbitrOption breezed through the tumultuous Brexit referendum and outperformed its benchmarks. ArbitrOption was up 7.18% in the first half of 2016 compared to the S&P 500 which gain

  4. Europe - European hedge funds shrink and shutter as turmoil hurts returns, Investors go bargain-hunting for U.K. property after Brexit vote, Brexit: Guidance for fund directors - what to know and what to ask[more]

    European hedge funds shrink and shutter as turmoil hurts returns From Bloomberg.com: Europe’s hedge-fund industry contracted for a sixth straight quarter as the U.K.’s decision to leave the European Union and concerns that China’s growth is slowing caused losses and forced some money man

  5. Platinum Partners starts liquidation of hedge funds following municipal union kickback scandal[more]

    Komfie Manalo, Opalesque Asia: Platinum Partners, the hedge fund in the middle of a New York City municipal union kickback investigation, is reported to be liquidating two of its funds, the New