Articles and Features

The Hennessee Hedge Fund Index advanced 2.51% in January, while the S&P 500 advanced 4.36%, the Dow Jones Industrial Average increased 3.40%, and the NASDAQ Composite Index climbed 8.01%. Bonds also advanced, as the Barclays Aggregate Bond Index increased 0.88% and the Barclays High Yield Credit Bond Index advanced 3.04%. »

Hedge funds are leveraging outsourcing in diverse ways to expand offerings and enhance productivity. As technology becomes a strategically important differentiator for hedge funds, outsourcing enables managers to develop a reliable, scalable infrastructure while focusing on their core money management competencies. »

The most likely path for unwinding global imbalances over the medium term is through appreciation of EM currencies versus G10 currencies, says Jerome Booth, Head of Research, and Jan Dehn, Strategist at Ashmore Investment Management… »

A new paper published by ICMA’s European Repo Council (ERC) is calling for more detailed understanding of the precise impact of collateral haircuts in the repo market. The paper: ‘Haircuts and initial margins in the repo market’, written by Richard Comotto of the ICMA Centre, questions the popular view of the role played by collateral haircuts in the recent crisis. »

Peter Niven, Chief Executive of Guernsey Finance – the promotional agency for the Island’s finance industry – explains why the jurisdiction continues to prove attractive to MENA managers… »

In addition to buying copper and oil futures, buying up the shares of mining and oil exploration companies could be a winning strategy over the next decade, according to Steve Shafer (pictured), Chief Investment Officer and Portfolio Manager of Covenant Global Investors. »

PENSCO Trust has launched an education initiative to help investors prevent fraud. »

Hedge funds opened 2012 by posting broad-based gains in January, with the HFRI Fund Weighted Composite Index gaining 2.63 per cent, the second highest monthly performance figure since December 2010, according to data released today by HFR. »

Lou Sala, chief executive of the Capital Markets practice at WTP Advisors, says that in the wake of the Madoff scandal, due diligence processes that were once little more than box-ticking exercises have become a searching and in some respects painful examination for hedge fund managers. »