Sun, Oct 26, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
New Managers February 2012

Peter Urbani' Statistics
Peter Urbani's quantitative analysis of emerging managers' performance

Emerging Managers outperform strongly since 2007 - keep pace with Equities post 2008

Peter Urbani An analysis of the funds contained within the Opalesque Emerging Managers Index shows the following:

The Opalesque Emanagers Total Index has delivered compound average annual returns of just under 17% since Jan 2007* and just over 16% since Jan 2009 post the 2008 crisis period. This postcrisis period return is in line with the just under+16% from Equities and very substantially higher than that of all of the comparative Hedge Fund benchmarks.

In the wake of the 2008 crisis period we saw a plethora of new alternative investment structures launched to meet the increased demands for liquidity and transparency. These included the increasing popularity of various Managed Account platforms, Newcits (UCITS III compliant) funds and even a number of US Act40 Alternative ETF's.

Three years down the track we can say that at this stage the aggregate returns of these newer vehicles have been disappointing with Managed Accounts averaging +2.76%, Newcits +2.37% and Fund of Funds +3.03%. It is worth noting that Bonds returned +5.66% p.a. over this period. The broader stand alone Hedge Fund universe returned a respectable +8.8%.

If one looks at the longer 4 year history from 2007 then you can see why Funds of Funds in particular are continuing to struggle as fully 50% of them remain below their high water marks and are not able to earn performance fees. Equities have also yet to recoup all of their 2007 - 2008 losses.

*based on a statistical backfill for period prior to Jan 20......................

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

Banner

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. Commodities - Oil wreaking havoc on small-cap energy stocks sliding 36%[more]

    From Bloomberg.com: Owning almost anything in the U.S. stock market has been a losing proposition since September. Owning smaller energy companies has been a catastrophe. Hercules Offshore Inc. and Resolute Energy Corp. are among 19 oil-and-gas equities in the Russell 2000 Index that lost more than

  2. Investing - Hedge funds favor equity long/short, Strategic bond managers hedge against further high yield sell-off[more]

    Hedge funds favor equity long/short From Securitieslendingtimes.com: Equity long/short strategies will generate good returns for hedge funds in the future, according to a panel at this year’s Risk Management Association Conference on Securities Lending in Naples, Florida. Panellists Sand

  3. Legal - Ex-hedge fund analyst weeps as judge hands down 5 year sentence, Former Columbus investment manager Steven P. Moore indicted on theft charges, SEBI confirms ban for Hong Kong hedge fund, SEC announces enforcement action against compliance officer[more]

    Ex-hedge fund analyst weeps as judge hands down 5 year sentence From Hereisthecity.com: An ex-hedge fund analyst was sentenced to 5 years in prison for his role in insider-trading scheme. The New York Post reports that former hedge fund analyst Matthew Teeple was sentenced Thursday to fiv

  4. Goldman in talks to acquire IndexIQ[more]

    From Bloomberg.com: Can Goldman Sachs put ETF investors on a liquid diet? Goldman is in talks to acquire IndexIQ, Reuters has reported. Index IQ is a small exchange-traded-fund firm known mostly for products that replicate hedge fund strategies, called "liquid alternative" ETFs. While IndexIQ has 11

  5. Other Voices: CALPERS dilemma should be a warning to hedge funds wanting institutional investors[more]

    From Ian Hamilton, founder of IDS Group. A quick comment on the CALPERS’ disinvestment from the hedge fund market and the jitters it is causing. Pension Funds should not be sheep and follow CALPERS’ decision as the issues that CALPERS has with hedge fund investments are in many ways unique t