Digital Assets Report

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Pragma, a multi-asset quantitative trading technology provider, has expanded its algorithmic (algo) trading platform, Pragma360, to include non-deliverable forwards (NDFs).    NDFs are a key instrument for traders looking to access emerging market currencies. According to the Bank of International Settlements’ (BIS) 2016 Triennial Central Bank Survey, the NDF market grew by 5.3 per cent between 2013 and 2016, accounting for over USD130 billion of daily currency trading activity.   Clients can utiliSe several algos to trade the three most actively-traded NDFs – the Brazilian Real (BRL), Korean Kon (KRW) and Indian Rupee (INR), which account for almost half (49
MV Index Solutions (MVIS) has launched the MVIS All World Long/Short Equity Index.   The index captures the systematic returns (beta) of long/short equity hedge funds that invest both regionally and globally.   It analyses the regional MVIS Long/Short Equity Indices (MVLSDA, MVLSEM, MVLSGL, MVLSNA and MVLSWE) to identify the factors driving their returns. It then applies a patented methodology that constructs a low volatility portfolio of ETFs corresponding to the factors with the most positive momentum.   The new index complements the suite of MVIS Long/Short Equity indices that cover global and selected regional markets.   “By investing in
The Preqin All-Strategies Hedge Fund benchmark returned 0.76 per cent in April, its sixth consecutive month of gains, taking 2017 YTD and 12-month performance to 3.99 per cent and 10.67 per cent respectively.  In contrast to the wider benchmark, macro strategies have posted two consecutive month of losses, having returned -0.27 per cent in April and -0.09 per cent in March. However, all other leading strategies have been above water in each month of the year so far. Equity and event driven strategies have outperformed the industry benchmark in 2017 posting robust returns in April of 1.03 per cent and
April 2017 was an exceptional month for the alternative UCITS market in terms of capital inflow, according to the latest LuxHedge Alternative UCITS Overview report. Total assets under management grew by EUR15 billion (+3.5 per cent), which represents the second largest absolute value growth ever recorded at LuxHedge.   Investors most notably increased their exposures towards fixed income arbitrage (+EUR7.2 billion), multi strategy (+EUR5.4 billion) and global macro funds (+EUR1.4 billion).   LuxHedge writes: “During the month of April, we added 20 new alternative UCITS funds to our database and liquidated 15. In line with the trend of the past
Crestbridge has provided a range of fund and corporate administration services in the establishment of Jersey-regulated fund EJF Investments and its listing on the Specialist Fund Segment of the London Stock Exchange. A closed-ended investment company, EJF Investments Limited is managed by an affiliate of US-based EJF Capital, the USD7.4 billion hedge fund which invests across debt, equity and securitisation assets.     The newly established Jersey fund, listed with an initial share capital of almost GBP70 million in April 2017, will invest in opportunities created by regulatory and structural changes impacting the financial services sector, including in asset-backed securities, distressed
Hedge funds investing in emerging markets extended their Q1 surge into April, with performance led by emerging Asia, including India and China, according to the latest HFR Emerging Markets Hedge Fund Industry Report. The HFRI EM: India Index climbed 5.63 per cent in April, extending the 2017 gain to 22.1 per cent and representing the strongest start to a year on record.   Total capital invested in emerging markets (EM) hedge funds reached an all-time high in 1Q, rising to USD205.8 billion, the third consecutive quarterly record. As previously reported by HFR, total hedge fund assets globally increased to USD3.07
Feeling awash in a sea of data? You’re not alone. Data has become ubiquitous. We collect it, store it, sort it and try to make use of it. Regulators and investors demand it. Many organisations feel overwhelmed by it. Fortunately, it is possible to tame it.  A recent survey of asset managers globally by Northern Trust and the Economist Intelligence Unit (EIU) found that, on the whole, the industry has capitalised on the explosion of available data, but some firms are benefiting significantly more than others.  In fact, only 13% of managers surveyed felt that their data strategy was entirely
The asset management industry is one of many industries in the middle of a digital disruption. It can’t be stopped and the industry needs to adapt.  I have worked with my team at Northern Trust on how we respond to changes in our business environment, and more importantly, how we help our clients respond. More than anything else, creating a focused technological operational strategy is critical. The right strategy merges pre-existing work and tools with things specifically designed to meet today’s digital landscape. We need to focus our approach rather than initiate a wholesale replacement of products and strategies. I
In response to growing demand for alternative assets, many fund managers are looking to either add these strategies to their product suite or branch into new sectors. But fund managers must balance boosting investor reach and product range with specialist regulatory and administrative demands. If you are contemplating a move into alternatives, finding an effective service provider is crucial. The right partner can offer the solutions, scale and market expertise you need to achieve success. Here are 10 questions every manager should ask when evaluating service providers: 1. DO YOU OFFER SERVICES TO ALTERNATIVE ASSET MANAGERS AND ASSET OWNERS?  Appointing
Aequitas NEO Exchange has been designated a Qualified Foreign Exchange by OTC Markets Group, effective 29 March 2017. NEO-listed companies may now apply to qualify for trading on the OTCQX and OTCQB markets in the US.   The OTCQX and OTCQB markets allow companies to establish an efficient and cost effective secondary market to reach the US-based investment community, without a US exchange listing.   “We are proud to receive this designation from OTC Markets as it expands the international scope of our listings business and further establishes our place in the global markets,” says Jos Schmitt (pictured), president and

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