|
|
Pierre Lenders From Kirsten Bischoff, Opalesque New York:
The focus on transparency and liquidity in the post 2008 world is driving interest in alternatives vehicles such as UCITS and managed accounts. However, in many cases investors have to determine which of those two things is more important to them. Both UCITS and managed accounts also have drawbacks. Managed accounts shift many responsibilities onto investors, and focusing on the liquidity offered by a UCITS fund for some strategies often means sacrificing performance gains. Investors considering these vehicles need to determine what their needs are, and for the long term investor there is an argument that should transparency should take precedence over liquidity.
"Long-term investors should always favor transparency over liquidity, but they can only give up on liquidity when they can use transparency to know their risk factors, and as we just said, they are still building that bridge. That may be another reason why investors have not been so active regarding alternatives in France. They are probably more inclined to prefer liquidity and, therefore, their performance has not been so great," says Pierre Lenders in the latest Opalesque France Roundtable. Lenders is CEO of HDF Finance a multi manager that focuses on alternative products, mainly multi strategy, on behalf of a client base that is mainly French institutional investors....................... To view our full article Click here
|
|
RSS
