From the historic stock market sell-off and volatility surge that wreaked havoc on investment portfolios during March to the continued working-from-home practices which have thrown up various operational obstacles spanning technology, cybersecurity and infrastructure, the coronavirus crisis has upended all corners of the hedge fund industry.
Savvas Savouri, chief economist and partner at long-running UK hedge fund manager Toscafund Asset Management, believes the UK is well-positioned to emerge from the current coronavirus downturn, despite GDP falling more than 20 per cent in the second quarter, sending the country into its sharpest recession on record.
A lax regulatory environment, the pervasive influence of passive funds (driven by index funds and ETFs), and a continued commitment among central banks to maintain low interest rates are creating a golden age for short sellers.
From mainstream to niche: How energy specialist hedge fund HITE is thriving with bearish carbon outlook
Established in 2004, HITE Hedge Asset Management is an alpha-focused energy specialist hedge fund firm which trades a range of energy-related securities throughout the entire carbon value chain.
“A new golden age”: Why industry pioneer Dixon Boardman believes hedge funds are now the place to be
For Dixon Boardman, the CEO and founder of Optima Asset Management and renowned fund-of-hedge funds pioneer, the dramatic turbulence that shocked markets earlier this year is unlike anything ever seen during his three decades-plus of investing.
Short selling is essential in enabling investors to hedge against ESG risks, and has bolstered market transparency by uncovering corporate wrongdoing and environmental negligence, according to a new study by the Alternative Investment Management Association and global law firm Simmons & Simmons.
Investors like Bill Ackman are bringing SPACs back into vogue and while the size and sophistication of these ‘blank-check’ companies is evolving, it is unlikely to signal a long-term structural shift.
“A healthy dose of scepticism”: How Cheyne Capital’s Richard Woolf is building success with thematic equity hedge fund
As manager of Cheyne Capital’s Thematic Long/Short Fund, Richard Woolf (pictured) brings what he describes as a “healthy dose of scepticism” to his portfolio management style and trading approach.
Virtual meetings, vigilance, and the Mayfair effect: AIMA chief Jack Inglis discusses Covid-19’s impact on the hedge fund industry
Jack Inglis, the CEO of the Alternative Investment Management Association, discusses hedge funds’ response to the assortment of operational obstacles arising from the coronavirus-imposed lockdown, how virtual conferencing has reshaped manager-investor relationships, and what the future holds for the industry’s traditional Mayfair nerve-centre following months of remote working.
Jim Chanos, the president and founder of Kynikos Associates and one of the industry’s higher profile short-sellers, said that the evidence was almost irrefutable late last year that something was wrong with Wirecard.
The “locusts” were the canaries in the coal mine (again): Hedge fund short-sellers vindicated as Wirecard blow-up jolts Germany
There is precious little to celebrate in the precipitous collapse of Wirecard, the German payments group whose shares have lost 90 per cent in a matter of days amid what now appears to be incontrovertible evidence of a massive and sustained fraud involving at least EUR2 billion of ‘missing’ cash.
A contrarian perspective: Q&A with Edouard Laurent-Bellue, partner and head of fund solutions at LFIS
With long-term volatility likely to remain at elevated levels, the LFIS Vision UCITS – Perspective Fund is primed to capitalise on opportunities in rangy equity markets.
Oil hedge fund Westbeck bullish on further energy price recovery after volatile markets sends returns soaring
Westbeck Capital Management, the London-based long/short energy specialist hedge fund, is positioning for a continued recovery in oil and oil equities after making bumper returns amid frenzied markets during the first six months of the year.
Rhenman & Partners Asset Management saw its global equity hedge fund tumble in July, as losses in energy and financials positions outweighed gains in information technology stocks.
Hedge funds have stormed into the second half of the year, recording their second highest monthly return in almost 18 months, and their third biggest monthly return in a decade, with equities and macro-focused managers leading the way.
Hosted by Hedgeweek, this live digital summit, taking place over two days (11 & 12 November), is your bridge to a new understanding of each of the critical steps involved in successfully bringing a hedge fund to market.
Voting is now open for the Hedgeweek US Awards 2020, which will be announced and celebrated at an exclusive virtual ceremony and industry networking event to be held on Thursday 29 October.
K2 Advisors flags up fresh opportunities for hedge funds, as economies emerge from coronavirus carnage
Pricing dislocations across a broad range of industries and geographies, coupled with an increasingly fragmented macroeconomic landscape stemming from divergent emergency central bank measures, will throw up a wealth of investment opportunities for macro, equity and credit hedge fund strategies in the second half of 2020, K2 Advisors, the global fund advisory unit of Franklin Templeton, has said.
Hedge funds cut losses with stellar Q2 gains as equities lead in June – but industry remains down in tumultuous half-year
A number of hedge fund strategies, including discretionary macro managers and specialist technology and healthcare-focused equity long/short funds, have taken profits in the first half of 2020, as the wider industry continues to claw back losses following the bedlam that rocked markets earlier in the year.
Savvas Savouri, chief economist and partner at long-running UK hedge fund manager Toscafund, says UK chancellor Rishi Sunak’s economic update has “supercharged” his confidence.
Lansdowne Partners’ flagship hedge fund draws shutters on shorting, switching focus to long-only investing
Lansdowne Partners, the long-running London-based hedge fund firm, is restructuring its flagship Developed Markets Fund to focus solely on long-only investments, and will no longer employ short-selling in the strategy, in a major shift in focus for the high-profile manager.
Quantumrock, the German volatility-focused quantitative hedge fund manager, has seen returns soar in the first half of the year, with its flagship fund generating more than 36 per cent in the first half of 2020 following an eye-catching June gain of almost 10 per cent.