Money managers under the microscope
Hedge fund stories from the past few days from Reuters and elsewhere:
‘Bold’ to conclude fraud at Galleon? – Reuters
Big investors grow wary – NY Times
Kiener: Quiet man in a quiet town – Reuters
Take a bow George Soros, Trafalgar Capital, King Street, Credit Agricole and a host of others.
Those lovely people at Lipper (wholly-owned by Thomson Reuters, I should note) have handed out the gongs for the top hedge funds in 2009. The awards pick out the managers delivering the best consistent returns over three years among participants the Lipper TASS database, divvying up the goodwill between strategies and regions to give a global snapshot of the leading performers.
We hear German hedge fund K1 and its boss Helmut Kiener have attracted the attention of prosecutors, so it’s worth dipping into the hedge fund performance numbers to see what all the fuss is about.
Below is a chart from the K1 website showing the serene progress of Kiener’s “K1 Fund Allocation System” until the financial crisis sparked an unprecedented wobble that was quickly righted. The total return since inception though, is still comfortably above 800 percent.