Funds Hub
Money managers under the microscope
Tilting at windmills
The growing discomfort among pension funds over EU plans to regulate the hedge fund industry has prompted another public pronouncement, this time from Dutch schemes with assets of about 450 billion euros, including APG and PGGM.
We’ve noted the potential pivotal role the pension industry could play before, but as yet there hasn’t been an appreciable softening in the tone adopted by the hardliners. Their standard bearer Poul Nyrup Rasmussen called London Mayor Boris Johnson “out of touch with reality” after the much-lobbied blonde tried to strike a blow for the alternatives industry on a vist to Brussels this week.
It is notable though that the Dutch funds have deliberately sought to divorce themselves from the frenetic efforts of the hedge funds and private equity funds, instead pleading to MEPs as ‘users’ of the industry.
Speaking to Global Pensions, APG compliance officer Gerben Everts said: “Unlike suggestions in the proposal, we do not think the protection envisaged by the directive is really beneficial for us, as professional investors.”
Guard dog shows teeth
You’ve got to hand it to Cerberus.
While we dutifully write stories about a new beginning for the hedge fund industry, marked by transparency at levels never seen before and fund structures designed to satisfy those burned by the credit crisis, the firm named after the guard dog at the gates of Hades comes up with its own tactic — lock up investor money for three years.
You might think that this is the last thing investors want, but it has a curious logic.
from From Reuters.com:
Following the smart money
At least 20 of the 30 biggest hedge funds boosted their positions in financial institutions in the last quarter, a sign that Wall Street is ready to bet on more risky sectors in the hope of longer-term rewards.
The push into financials indicates fund managers including Steven Cohen and John Paulson -- closely watched as barometers of risk -- have shifted from routine merger arbitrage plays to directional bets with more reward potential.
Distressed investing: surprises at every turn
Investing in a company in trouble is rarely for the faint-hearted, as the funds lending to Eggborough power station know.
Earlier today France’s EDF, Eggborough’s current owner, confirmed lenders to the coal-fired power station planned to exercise their option to buy the Yorkshire plant for about 190 million pounds.
Brush up your CVs!
That perfect job running a convertible arbitrage fund could be just around the corner…
It’s still early days, but after nearly 1,500 hedge fund closures last year and job cuts at many firms, there are signs that some hedge funds are hiring again.
Morning line-up
Hedge fund stories from the past 24 hours from Reuters and elsewhere:
Porsche ex-CEO in VW share probe, offices raided – Reuters
Case will throw light on funds before Bear Stearns collapsed – Telegraph
Hedge funds face long EU regulation battle – Guardian
Morning line-up
Hedge fund stories from the past 24 hours from Reuters and elsewhere:
Hedge fund bets millions that gas price will triple – FT
Hedge funds ratchet up their focus on China – WSJ
Bear Stearns hedge fund mgr ignored conflict warnings: gvt – Reuters
Investors are getting back into hedge funds – Morningstar
Investcorp posts H2 loss, sees improvement in hedge fund business – Reuters
VW drops as hedge funds move in
Volkswagen ordinary shares are down today after yesterday’s report of increased short positions.
Stock out on loan, a good indication of shorting, has doubled over the past month to 2 pct of total issuance, according to figures from Dataexplorers.
Morning line-up
Hedge fund stories from the past 24 hours from Reuters and elsewhere:
Hedge funds soar in ’09, most still in the red – Reuters
Madoff brought to book – Daily Telegraph
Hedge funds enjoy third straight month of inflows – Finalternatives
Greed can backfire on hedge fund seeders: Man – Reuters
Terminator producers sue hedge fund backer - NY Times
Shorts suffer in the rally
For many money managers who bet exclusively that securities will fall, July may go down in history as their personal Waterloo — .
When performance data is announced in the next few days, the numbers will show high single-digit or even double-digit losses at so-called dedicated short-sellers, industry analysts and investors forecast.
