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The Credit Suisse Liquid Alternative Beta Index was up 0.53 per cent in August, according to Jordan Drachman, head of research for alternative beta strategies at Credit Suisse.
The long/short strategy was the most significant contributor to performance, finishing up 2.05 per cent for the month.
The event driven strategy was the second-highest contributor to performance, finishing up 1.38 per cent for the month. It has the highest performance year-to-date, up 7.10 per cent.
The lines between institutional asset managers and alternative investors are becoming increasingly blurred due to investment strategies, priorities and goals becoming aligned, according to Martin Boyd, president of SunGard’s asset management business.
“The relocation of assets to either alternative or traditional strategies puts greater pressure on funds to perform,” he says. “Therefore, fund managers are looking to technology solutions that help reduce platform complexity, increase risk management and maintain compliance to ultimately assist in the generation of alpha.”
SunGard has identified ten trends shaping the asset management industry. They are:
1. Business continuity plans are becoming more important to hedge funds
The Securities and Exchange Commission has charged an attorney and two others living in South Florida for their roles in a USD27.5m investment scheme that led investors to believe they were purchasing securities consisting of “pre-sold” commodities contracts with a pre-determined profit.
However, the supposed profits actually distributed to investors were largely taken from other investors’ funds.
The SEC halted the scheme last year when it obtained an asset freeze and a court-appointed receiver over the companies involved: Commodities Online LLC and Commodities Online Management LLC. The SEC’s follow-up charges are against the founder and former president of the company,
Newedge has made two appointments in its alternative investment solutions (AIS) group, a part of Newedge’s prime clearing services.
Leslie Richman and Duncan Crawford have been appointed co-global head alternative investment solutions.
Richman is based in Chicago and has been leading alternative investment solutions in the US for nearly two decades.
Crawford is based in London and has run capital introductions globally for the past 12 years. Previously, he held various senior management and trading roles with Newedge and its predecessor firms since 1991.
Keith Johnson has been appointed global head of capital introductions, based in Chicago. He was previously
Alternative investment company Aquila Capital’s AC Risk Parity 12 Fund has achieved four years of consistently positive year-on-year returns.
The fund has delivered 51.2 per cent since its launch, with annualised returns over the period of 10.9 per cent (AC Risk Parity 12 Fund EUR A, as of 31 August).
According to the latest Absolut Report Alternative Ucits Monitor, the AC Risk Parity 12 Fund ranks seventh in the category “Performance YTD (July) – Multi Asset” with a strong performance of 8.1 per cent as of end of July 2012.
Roman Rosslenbroich (pictured), co-founder and chief executive of
The Securities and Exchange Commission has charged a California man with illegally tipping a hedge fund manager with inside information about Nvidia Corporation’s quarterly earnings that he learned from his friend who worked at the company.
The SEC alleges that Hyung Lim of Los Altos, California received USD15,000 and stock tips about a pending corporate acquisition for regularly providing a fellow poker player, Danny Kuo, with non-public details ahead of Nvidia’s quarterly earnings announcements.
Kuo, a hedge fund manager, illegally traded on the information and passed it on to multi-billion dollar hedge fund advisory firms Diamondback Capital Management and Level
Hedgebay has called on hedge fund managers to take advantage of secondary market platforms, claiming they can provide a permanent source of funding.
The call comes in the wake of a recent survey on the private placement industry by trading and risk solutions provider Simplify.
The survey, which polled around 500 private placement users, showed that 100 per cent of respondents had traded hedge fund shares on a secondary basis – proving the popularity of secondary markets among hedge fund investors
The survey claimed that private placements are set to double in 2013. However Hedgebay, who was shown to
The Alternative Investment Management Association has appointed Jennifer Wood as its head of asset management regulation.
Wood was most recently a partner with Dechert, where she focused her practice on advising UK, US, European and Asian financial services firms, investment managers and investment funds on US regulatory matters, including investment adviser and fund registration and compliance matters, fund formation matters and fund governance.
Jiri Krol, AIMA’s director of government and regulatory affairs, says: “We are absolutely delighted to welcome to AIMA someone with Jennifer’s experience and expertise. Her presence will add a notable resource to the association and our
Hermes BPK Partners is a provider of alternative hedge fund solutions part owned by Hermes Fund Managers. Representing the ‘P’ in BPK, Hedgeweek’s James Williams speaks with the firm’s chief executive officer and founding partner, Matteo Dante Perruccio (pictured), about its philosophy and fund range…
HW: When did the partnership with Hermes occur?
MDP: It was right around the time of the 2008 debacle. We were the first external boutique to partner with Hermes and also received the largest ever seeding for a FoFs platform which at the time of the commitment was about USD2billion. We are now 61 per cent owned by Hermes Fund Managers with the remainder controlled by the
Consolidated trading volume during August for options contracts on the Chicago Board Options Exchange (CBOE) and C2 Options Exchange (C2) and futures contracts on CBOE Futures Exchange (CFE) totalled over 91 million contracts.
August 2012 average daily volume (ADV) for the three exchanges, combined, was 3.97 million contracts, a 40 per cent decrease when compared to the all-time-monthly record ADV of 6.65 million contracts in August 2011, and a seven per cent decrease from 4.24 million contracts ADV in July 2012.
Year to date through August 2012, consolidated ADV for the three exchanges totalled 4.65 million contracts, down seven per
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