Money managers under the microscope
Our graphics team have been busy producing some wonderful interactive contraptions and this is one of the best I’ve seen, a clear and useful look at the top equity fund sectors over the last three years.
No great surprise to see Thailand ruling the roost but interesting to see Italian funds faring so poorly, and who would have picked Israeli small cap managers to make the top 10?.
Most importantly, surfing round the graphic is made a joy by the pleasingly bouncy charts… I’m easily pleased.
European investors have missed the boat if they wanted to adjust their portfolio to take advantage of a rising yen as the currency has peaked, says BNP Paribas Asset Management’s Hubert Goye.
You can watch his interview with Reuters Insider here: http://link.reuters.com/ket58n
Equities continue to steam ahead but at least one hedge fund manager is wary.
Noster Capital’s Pedro de Noronha is currently short the S&P 500, believing valuations are too high.
In addition, he sees a longer-term threat in the form of demographics: ‘baby boomers’ are now hitting retirement and will be selling equities to fund their annuity purchases, he argues.
from Global Investing:
In what it must hope will be seen as a carefully considered and constructed response to the European Commission's hastily drafted and ill-thought-out proposed directive, the European Private Equity and Venture Capital Association -- the voice for private equity in Europe -- calls for the threshold for reporting on its companies' activities to be lifted to 1 billion euros assets under management from 500 million.
At the turn of the year managed futures funds/CTAs were the talk of the town after a stonking 2008 in which they gained 18.33 percent while the average fund lost 19.07 percent.
Six months on and they have become one of 2009′s laggards, losing 5.23 percent while the average fund is up 6.72 percent.
Reports of potential shareholder unrest at Man Group.
A Times article reports on fund manager anger over an “arms race” in executive pay and juxtaposes this against Man CEO Peter Clarke’s $14.4 mln pay.
It says several institutional investors it contacted “said that they had not yet decided whether to protest over remuneration at Man”.
Despite last year’s record poor performance from the hedge fund industry, Britain’s second-biggest pension fund is sticking with a mission to double its allocations to hedge funds and private equity to 20 percent.
Oh what a tangled web we weave when first we practise to deceive, wrote Scottish novelist Sir Walter Scott, and anyone looking into the alleged Madoff fraud may well understand what he means.
Funds, advisors, auditors, fund administrators and custodians are looking around nervously and trying to understand whether they are likely to face lawsuits. Some are pre-empting that by taking out lawsuits themselves.
The shrinkage of the UK-listed banking sector is providing an interesting trade for Legal & General Investment Management’s $46 million Global Macro fund.
After some dramatic share price falls, banks now account for only around 10 percent of the FTSE 100. According to LGIM’s head of asset allocation David North, this means any potential damage of further bank problems to the index is likely to be a lot less from here onwards.