Funds
Pictet Asset Management has expanded its $11 billion actively managed Total Return franchise with the launch of the Pictet Total Return-Lotus fund, an event-driven, special situations Asia equity fund.
Pictet-TR Lotus aims to capture opportunities in Pan-Asian equities by focusing on short to medium-term corporate catalysts, as well as longer-term secular trends such as China’s restructuring, the growth of South East Asia and the improving corporate governance in Japan.
The strategy invests in three areas: defined catalysts (equity capital market trades, thematic, special situations); pre-event (M&A, divestment/spin-off); and announced M&A. This diversification helps to provide stable, all-weather results in
Big name quant hedge fund firms including AQR Capital Management, Man Group and Aspect Capital are on course for record annual returns this year on the back of the ongoing market turmoil that has caused big problems for traditional stock and bond managers, according to a report by Bloomberg.
The report cites an unnamed source as revealing that AQR’s Absolute Return Strategy is set for its best ever year haiving seen a 40.9% gain up to the end of November. Man’s $11.6 billion AHL Alpha, meanwhile is up 10.7% over the same period while Aspect’s Diversified fund has surged 37.9%
Most hedge funds continued their recovery in November, with equity and multi-strategy funds leading the way as the overall weighted average return for funds administered by Citco reached a total of 2.9% for the month.
Hedge funds have been increasing their short bets against cryptocurrency miners, in expectation of further fallout from the collapse on Sam Bankman-Fried’s FTX digital assets empire, according to a report by the Financial Times.
The price of bitcoin has tumbled by nearly two-thirds so far this year, while the cost of operating the energy-intensive computers used by bitcoin miners has risen sharply on the back of global power increases, leading some hedge fund managers to wager that some companies could soon run into problems.
The report cites data from Nasdaq as revealing that short bets against one of the the
Digital asset investment products saw outflows totalling $30 million last week, with outflows seen across most asset types, according to the latest Digital Asset Fund Flows Weekly report from CoinShares.
Asia-based hedge funds are on course to chalk up their worst annual performance figures in 12 years, with long-short stock-picking funds having been caught out by volatility in China, according to a report by Reuters.
While Asia nmacro strategy funds, like their counterparts elsewhere in the world, have benefited from big global shifts in interest rates, the report cites a series of China factors that have proved problematic for other hedge funds including China unexpectedly loosening its rigid Covid-19 movement and testing controls, and. President Xi Jinping’s consolidation of power is another factor that has impacted the performance of equity
Despite notching up average annualised returns of -6.9% up to the end of September, credit hedge funds are finding favour with investors with 41 per cent saying they want to increase their exposure to the strategy, according to report by Institutional Investor.
Bad bets on everything from currencies to commodities saw Brazil’s top-performing hedge fund over the past two years, the SPX Raptor Fund, record a record monthly loss in November, according to a report by BNN Bloomberg.
The report cites a note sent to investors by the fund’s manager, SPX Capital, as revealing that the fund chalked up its biggest monthly decline since launching in December 2010, with an 11% fall after fees.
“The main negative contributors were rates and foreign-currency” bets, the fund wrote in the note. Wagers in equity, commodities and credit markets also led to losses, although to
The new digital assets hedge fund launched by Brevan Howard Asset Management has come through this year’s cryptocurrency crash relatively unscathed, according to a report by Bloomberg, restricting losses to single figures.
The report cites unnamed sources as revealing the the BH Digital Multi-Strategy Fund is down about 5% YTD, although it is yet to deploy all of the $1 billion it raised for investments.
Cryptocurrency hedge funds tracked by Bloomberg, meanwhile, slumped 43% on average as bitcoin’s roughly-60% decline and the recent collapse of crypto exchange FTX caused turmoil in the digital assets space.
Losses in single figures
Faltering oil prices in the second half of the year have impacted commodity trader Pierre Andurand’s biggest hedge fund, with year to date gains having been pared to around 50% following stellar performance earlier in the year, according to a report by Bloomberg.
