Thu, Nov 27, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
New Managers May 2013

News & Perspectives

You get one shot as a manager

Phillip Chapple, Executive Director with KB Associates UK, a boutique operational consulting firm, told Opalesque's UK-based writer Beverly Chandler that he had already seen 59 potential hedge fund launches so far this year, even though he deems only eight are viable as new businesses. Shortly after he arrived at KB in 2010, he started up a different service helping start up hedge fund managers to build their whole infrastructure with investor requirements in mind, "driven by the fact that a lot of prime brokerage teams had been slimmed back but investor expectations had gone up."

"We see a flow of potential start-ups and we are honest with them about their chance of making it" Chapple says. Currently in London, KB has 41 clients for whom they have prepared or are preparing due diligence. "The flows from investors means that due diligence happens immediately but many investors or conduit investors won't tell you why you have failed - you get one shot as a manager with a lot of them as they don't tend to revisit. The conduit guys look at 1,000 managers to find the 100 so they don't have time to help the managers to get up to standard." (Full Opalesque Exclusive)

AIFMD could asphyxiate new fund launches

Michael Oliver Weinberg is Adjunct Associate Professor at the Columbia Business School where he is currently teaching a course he created on Alternative Investing in Pension Plans. In terms of regulations, Weinberg said on Opalesque Radio that the EU's AIFM Directive is "more of a bane than a boon," as it is too complex and likely to asphyxiate new fund launches and damage existing funds, both in Europe and out of Europe.

"We believe it will result in a significant retrenchment in non-EU domiciled managers who currently have such presence but deem it no longer worthwhile," he notes. But on the positive note, he adds, the managers that stay - most likely......................

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 - George Soros puts $500m of his money on Bill Gross, Soros, Paulson backed Hispania Activos mulls Realia takeover, Ex-Credit Suisse trader’s hedge fund sees yen shorts as crowded, Hedge hunters double default-swaps as views split, Large hedge fund positions come under pressure, Vikram Pandit's fund picks 50% stake in JM Financial's realty lending arm for $87m[more]

    George Soros puts $500m of his money on Bill Gross From WSJ.com: Before Bill Gross was fully settled in at his new firm, Janus Capital Group Inc., he received an unlikely visit from the chief investment officer of famed investor George Soros ’s firm, according to a person familiar with t

  2. Unlucky Paulson & Co. rebrands $1.6bn Recovery Fund after 13% drop[more]

    From Businessweek.com: A maturing U.S. economic recovery is prompting Paulson & Co. to change course. The $19 billion hedge fund firm, led by billionaire John Paulson, told investors on a conference call this month that the Paulson Recovery Fund will be renamed Paulson Special Situations Fund on Jan

  3. Europe - Hedge funds face exit tax as Iceland central bank discusses plan[more]

    From Bloomberg.com: Hedge funds and other creditors with claims against Iceland’s failed banks face an exit tax as the island looks for ways to unwind capital controls without hurting the economy. The government targets having a plan it can present by year-end that would map out how Iceland will sca

  4. Opalesque Exclusive: Risk management emerges as a competitive focus area for hedge funds[more]

    Bailey McCann, Opalesque New York: Risk management has always been a core component of any trading strategy, as well as a critical part of business management. However, as macreconomic weakness persists, and alpha becomes increasingly hard to generate, risk management as emerged as a more promin

  5. Gross: Inflation is required to pay for prior inflation[more]

    Benedicte Gravrand, Opalesque Geneva: As inflation rises, every dollar will buy a smaller percentage of a good. While deflation will mean a decrease in the general price level of goods and services. These two economic conditions are both in the waiting room. The consensus would like the former to