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From Precy Dumlao, Opalesque Asia:
Positive outlook into the global economy in 2011 will drive hedge funds and institutional investors to bet on commodities as stronger markets will lift demands for metals, grains and energy, according to a survey of 300 attendees at Barclays Capital’s sixth annual U.S. Commodities Investor Conference held this week in New York. Barclays Capital is the investment banking division of Barclays Bank PLC.
The London-based bank said in a press statement that a majority (75%) of the respondents expect strong inflows into the commodities space in 2011 and exceed this year’s $50bn investments. At least 69% of those surveyed revealed they would raise their commodity exposure over the next three years, while 22% of those polled said they would maintain their current commodity portfolios.
Kevin Norrish, Managing Director at Barclays Capital commodities, “The survey results show that institutional investors plan to continue deploying new capital into this asset class and expect healthy returns in 2011 and beyond. The challenge for them is to find the right strategy to achieve those returns, and it is clear that active strategies are increasingly coming into favor.”
Among those who participated in the survey, 40% were hedge-fund managers. Institutional investors, such as pension funds and endowments, accounted for another 40%, and the rest were retail investors, ...................... To view our full article Click here
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