Money managers under the microscope
After a year in which buying the assets that had been sold down most in 2008 often proved the best strategy, 2010 looks an altogether different proposition.
The huge gains seen this year — stock markets rebounded more than 50 pct from their March lows, while some credits performed even better — are unlikely to be repeated, managers feel, and so discerning between different winners and losers from the credit crisis will the name of the game.
Yesterday we ran a story highlighting how funds of funds managers are backing global macro and long-short equity for next year.
The theory for macro is that different countries will emerge from the global economic downturn at different speeds (we’ve already seen this with the UK still being in recession in Q3, while France was already growing in Q2).