Funds Hub

Money managers under the microscope

Bears stalk hedgie jamboree


After 20 percent gains in 2009 and a year of inflows, you might expect the mood in Monaco at the annual GAIM hedge fund conference to be jubilant. Indeed, Martin de Sa’Pinto has identified some crucial developments in delegates’ late-night carousing which point to some renewed confidence.

Managers are certainly in a better mood than last year, when the industry had been through a battering from markets and disillusioned investors.

But there is still a lot of nervousness, with regulation and tax concerns very much on investors’ minds.

And a volatile May, including the industry’s biggest losses in 18 months, has taken its toll. The talk is of how not to lose money, while a session entitled “Understanding the recent strength of global macro strategies” –presumably thought up several months ago — looks like an anachronism.

Monaco nightspots hint at hedge fund comeback


It may seem tenuous, but the small number of delegates present in Monaco’s Grimaldi forum on Wednesday at the start of the second day of the GAIM hedge fund conference is a clear indication that the industry is feeling renewed confidence after the gloom of last year.

The reason for the poor morning turnout is quite simple. A good proportion of the attendees didn’t make it to bed until at least 3.30 a.m. on the first full conference day.

from Global Investing:

What fund managers think

Bank of America-Merrill Lynch's monthly poll of around 200 fund managers had a few nuggets in the June version, aside from the usual mood-taking.

Gold is too expensive.  A net 27 percent of respondent thought it overvalued, up from 13 percent in May. Then again, the respondents to this poll have reckoned gold is too pricey since September 2009.

Morning line-up: GAIM, GAIM and Dublin boom

News and views on the fund industry from Reuters and elsewhere:

RTR1SGF8Hedgies focus on capital preservation – Reuters

GAIM gaze turns to transparency and fees – Reuters

Mallaby reviewed – WSJ

Returns to halve? – FT

Newcits job boom for Dublin? – Financial news

Latest from GAIM


Our reporters have been scouting round the halls at the GAIM hedge fund conference in Monaco today. Here’s a taste of what we’ve seen so far:

Man Group CEO rules out big deals after GLG buy

Hedge funds to manage $3 trln by 2013-consultant

FACTBOX-The European hedge fund industry

PREVIEW-May losses cloud hedge fund summit in sunny Monaco

And some links from Reuters Insider coverage:

FRM’s de Gentile-Williams

Blackstone’s Wien

Lombard Odier’s Kohler

Live from the City Oscars 2010

I’ll be at the Guildhall in London today for the latest run down of the financial sector’s favourite brokers, analysts and fund managers.

Lipper’s line on losses in may

We’ve already had confirmation that hedgies had a rough May, taking a buffeting from volatile markets, but we have a bit more detail from the latest Lipper report summarised with links to the full shebang below. The Lipper approach differs a bit from the rest as they don’t weight the index to funds’ asset levels, in theory giving a cleaner take on performance. One interesting note is the loss for event-driven strategies, skewered by a poor month for high-yield bond markets.

For the record, Lipper is a Thomson Reuters company:


The Snapshot contains early Lipper hedge fund performance readings (based on Lipper Global Hedge Classifications) as at the end of May 2010.

Did Neil Woodford cause the BP oil slick?

Well, no. Of course he didn’t. And if pressed, he’d probably rather the southern seaboard of the United States wasn’t slowly turning into a necklace of slippery brown beaches.

But he is one of very few to benefit from the avalanche of political opprobrium, escalating costs and reputational damage that has engulfed BP in the last month, sending the shares 30 percent lower and leaving the pension pots of poor grans and grandads looking markedly less healthy.