Tue, May 30, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
New Managers April 2013

Launches and New Funds' News

Starting a hedge fund is harder, but that won't stop people from trying: The Economist

Breaking into the hedge-fund world is harder than before, said The Economist this month, citing declining fees, lower returns, investors' demands for sturdier back offices, the institutionalisation of investors (who are more risk averse), and the exodus from banking star traders to hedge funds being over. The report also reminds us of the possible outperformance of new hedge funds, and of the growing business of seeding. Below is a graph from the article:

Source

"Running a successful hedge fund is still fabulously lucrative, however," the article concludes. "The top 25 managers globally last year took home a combined $14 billion in pay and profits, according to Institutional Investor's Alpha -and that was the worst year since 2008. Nine made over $500m. Even if the going is tougher, aspiring managers will keep trying their luck."

We recently heard of those ex-hedge funders striking out on their own:

1. Three veteran investment professionals formed Witherspoon Asset Management LLC, a Princeton-based investment adviser: Lee Gladden, who will be CEO, Thomas Kuntz, COO, and Tyler Vernon, Managing Director. Both Gladden and Kuntz share a backgroun......................

To view our full article please login

This article was published in Opalesque's New Managers a top-down monthly analysis, news and research publication on the global emerging manager space.
New Managers
New Managers
New Managers

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. Investing - China's HNA wants to invest in Value Partners, Risk parity investors reap rewards from rebalancing act, SoftBank's $100 billion tech fund rankles VCs as valuations soar[more]

    China's HNA wants to invest in Value Partners From Reuters.com: HNA Group has alighted on a logical, if pricey, target in Hong Kong. The deal-hungry Chinese travel conglomerate known for overpaying wants to invest in Value Partners, one of Asia's few sizeable independent asset managers,

  2. Opalesque Exclusive: Investors warm to ESG, but seek standardization[more]

    Bailey McCann, Opalesque New York: Asset managers and asset owners plan to double their investment in Environmental, Social and Governance (ESG) driven strategies over the next two years, according to a survey from BNP Paribas Securities Services. The report, "Great Expectations: ESG - what's nex

  3. Opalesque Roundtable: France's hidden strengths in AI and machine learning[more]

    Komfie Manalo, Opalesque Asia: All nations offer their strengths and weaknesses, but one that is undisputed is the quality of the French scientists, claimed Guillaume Vidal, co-founder of French technology startup Walnut Algorithms at the

  4. AI-based hedge fund brings machine learning investing to masses[more]

    Komfie Manalo, Opalesque Asia: Machine learning-based hedge fund firm Greyfeather Capital is trying to bring artificial intelligence investing to the masses with its plan to expand beyond the limited reach of the alternative investments space. "We're excited to bring AI technology to traditio

  5. Outlook - Iconic hedge fund manager Seth Klarman says investors are missing huge risks, Paul Singer warns of a world at risk[more]

    Iconic hedge fund manager Seth Klarman says investors are missing huge risks From Businessinsider.com: An iconic hedge fund manager says investors are misperceiving risks in the markets - at a time when markets are hitting historic highs. Baupost Group's Seth Klarman laid out his concern