ML Capital Asset Management, the investment manager and promoter of the MontLake UCITS Platform, has published the 10th edition of the quarterly ML Capital Alternative UCITS Barometer.
The Barometer is designed to help identify and anticipate key trends in the demand for the major strategies within the alternative UCITS sector.
ML Capital surveyed a diverse range of 49 investors who collectively manage over USD85bn and today invest upwards of USD19bn into alternative UCITS reflecting the widening of the investor base for regulated alternative products in Europe. Respondents range from insurance and pension funds to private banking organisations, with a significant constituent of financial advisers that deal with the primary source of alternative UCITS inflows, the mid-net-worth investor.
• Solid growth expected, underpinned by strong emerging markets - "10 consecutive quarters of increased allocations to global emerging strategies" and "98 per cent to hold or increase allocations to global long/short"
• Majority of investors opt for global strategies - "65 per cent of all investors to increase allocations to global emerging markets" and "51 per cent of all investors looking to increase allocations to global long/short"
• Japanese revival; 93 per cent of investors show faith in Asia's second largest economy - "Polar change in investor sentiment as they find value in the resurgent economy" and "Government stimulus and consumer spending are driving recovery"
• Investors are slow to react as CTAs post strongest returns - "Investor appetite wains despite the strongest period for CTAs in the past 5 years" and "Many quant investors still believe in further gains for CTAs and systematics in 2013"