Sat, Feb 28, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
New Managers May 2012

Perspectives
Recent views and findings on what could relate to new hedge fund managers

Not Alfred Winslow Jones?

New managers take note. The history of the industry is being revised. "Ben[jamin] Graham managed a hedge fund in the mid-1920s," Warren Buffett wrote in a letter to the Museum of American Finance, according to Bloomberg. "It involved a partnership structure, a percentage-of-profits compensation arrangement for Ben as a general partner, a number of limited partners and a variety of long and short positions." So it may not be Alfred Winslow Jones who launched the first hedge fund in 1949 after all.

New managers may be facing a perfect storm of Obstacles

Here are some cheerful views to share along. A volatile global economy, political uncertainty in the US and abroad, and an ever expanding list of regulations is creating a 'perfect storm' of obstacles for new managers looking to launch funds, according to Richard Heller, Partner at US law firm Thompson Hine and Director of the Hedge Fund Association.

The size of new launches is shrinking and new managers are finding a very difficult capital raising environment regardless of their pedigree, conditions which are having a chilling effect on new fund launches and the industry at large. This trend is likely to affect the industry for the foreseeable future despite new allowances like those passed with the JOBS Act.

"Is it too much regulation? I would say yes. It's about politics," Heller said. (See Opalesque Exclusive here).

$5bn is the magic number for hedge fund success

According to some, $100m, let alone $20m, is far from enough.

Capital inflows continue to go to bigger brand nam......................

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 - Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched, Myriad hedge fund sold bulk of its Alibaba stake last year[more]

    Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched From Valuewalk.com: As hedge fund manager Seth Klarman, leader of the $28 billion Baupost Group, reviews 2014 performance and considers investors gained near 7 percent on the year, he cons

  2. Adamas Asset Management and Ping An Insurance to co-manage $500m debt fund[more]

    Komfie Manalo, Opalesque Asia: Hong Kong-based Adamas Asset Management and Ping An Insurance Group, one of China’s largest financial institutions, have finalized a memorandum of und

  3. Opalesque Exclusive: dbSelect’s top ten FX strategies average almost 10% in January[more]

    Benedicte Gravrand, Opalesque Geneva: In one of Deutsche Asset & Wealth Management (AWM)’s hedge fund platforms, called dbSelect, a number of FX Strategies did very well in January. dbSelect is a managed investment platform for unf

  4. Opalesque Exclusive: SEC’s Mark J. Flannery warns hedge funds against valuation misconduct[more]

    Komfie Manalo, Opalesque Asia: Securities and Exchange Commission chief economist and director of Division of Economic and Risk Analysis (DERA) Mark J. Flannery has warned of the risks posed by market misconduct, particularly in the true valuation of assets by hedge fund managers. In his

  5. Dymon Asia's $3bn macro hedge fund lost 10.45% in January[more]

    From Reuters.com: Dymon Asia's $3.1 billion macro hedge fund lost 10.45 percent in January, performance data seen by Reuters showed, a month where many peers lost heavily after a surprise rise in the Swiss franc. Singapore-based Dymon, set up by Danny Yong, a former founding partner and chie