|
Benedicte Gravrand, Opalesque Europe:
According to a London-based asset manager, UCITS funds of hedge funds are struggling when in comes to raising assets. And this is due mainly to a lack of trust; investors’ perception of the post-Madoff, post-credit crisis fund of hedge funds (FoHFs) business has bled onto UCITS-compliant FoHFs’ reputation.
KDK Asset Management Ltd, an investment management company that assists hedge fund and FoHFs managers in the structuring and development of a UCITS offering, has just issued a yearly market update on UCITS FoHFs.
UCITS funds have attracted AuM in excess of Eur5.6tn (US$7.85tn) at the end of Q2-2010, says the report, and as a result FoHFs are also entering massively in this space; more than 66 multi-manager UCITS have been launched to date, and at least 31 UCITS FoHFs were launched in the past 12 months, with AuM growing in excess of 150%.
The average management fee for these funds is 1.36% and the average performance fee 5.64% - both a bit higher than last year’s (1.30% and 4.43%) – and more funds are now taking performance fees.
Luxembourg is still, compared to a year ago, the dominant domicile for funds and assets, followed by Ireland – which is the fastest growing domicile in relative terms; and the NAV frequency is still either daily or weekly.
In terms of investment structure, KDK sees a clear trend: index approaches used to be the most common w...................... To view our full article Click here
|
RSS
