Funds Hub

Money managers under the microscope

Opportunities in the listed sector


Despite this year’s rally, opportunities remain in the listed hedge funds sector, according to analysts at Numis Securities.

A year ago the future of the sector looked in doubt, the broker writes in a note out today, as discounts to net asset value reached 40 percent and investors scrambled for liquidity in the wake of the collapse of Lehman Brothers.

But after the sector’s subsequent shake-out, as a number of funds wound up or returned capital, share prices have risen and discounts have closed — they are now at 15 percent.

Nevertheless, stockpickers can still find interesting ideas, the broker claims.