Money managers under the microscope
By Lorraine Turner
Speakers at the Reuters Hedge Fund and Private Equity summit this week were asked “what keeps you awake at night” and the answers were wide-ranging, from “my 7-week old daughter” to “the next meteorite”.
Some executives are left counting sheep over the heavyweight questions that are plaguing our economies such as how low investment markets will fall or how the credit crisis can be eased as businesses remain stymied by a lack of credit.
Others are more entrenched in more specific fears such as cashflow from investors, a regulatory clamp-down or the fear of bankruptcy amongst private equity-owned companies.
Hedge fund bosses were noticeably cooler about the economic climate but still lie awake at night in a cold sweat over bad investment calls.
Meanwhile one poor private equity house boss confessed that he simply didn’t wake at night. “I’m working much too hard for that and by the time I put my head on the pillow I’m totally wiped out.” We all know that feeling.