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Benedicte Gravrand, Opalesque London: SEI, a global provider of outsourced asset management, investment processing and investment operations solutions with head-quarters in Oaks, PA, sponsored a survey of more than 100 institutional investors last year to understand the competitive requirements of the institutional space for hedge funds. The survey was conducted by Infovest21.
The analysis found:
- Growing institutional acceptance of hedge funds
- A desire for non-correlated and absolute returns
- Performance targets emphasizing consistent, stable returns
- Concerns with headline risk
- A focus on transparency of strategies
- A deliberate approach to hedge fund selection.
So how much influence do institutional investors have on the evolution of hedge funds? John Alshefski, head of business development for SEI’s Investment Manager Services division, spoke to Opalesque: “We are absolutely of the opinion that institutions are driving the requirements of hedge funds and it is certainly having an impact on what they need to deliver to their investors. If you look at the survey we did, it shows that there is more emphasis being placed on a manager's infrastructure, including stable management teams, stable returns to non- correlated strategies, avoiding headline risk and staying ahead of increased regulation.”
“Increasingly institutional investors are placing demand...................... To view our full article Click here
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