Funds Hub
Money managers under the microscope
Morning line-up: LTCM, Asia, pension funds
Pension funds allocate across the breadth of alternative assets – HedgeWeek
Inflation and real estate top concerns among hedge fund and PE managers – HedgeWeek
Former LTCM trader surfaces at London-based hedge fund – City AM
Asia comes out on top in hedge fund performance study – FinAlternatives
2009 – an annus mirabilis?
There is already hard data out from HFR showing hedge funds received net inflows of $1.1 bln in Q3 (small, but nevertheless a relief after $330 bln of net outflows in the year to June).
Hedge funds suffered their own annus horribilis in 2008. REUTERS/Reuters Photographer.
Hedge funds “a good thing”, says Taleb
Regulators are going after the wrong target by trying to impose stricter rules on hedge funds, according to Nassim Nicholas Taleb, high-profile author of credit crisis hit The Black Swan.
Taking a decidedly negative view of banks, Taleb told the Hedge 2009 conference in London today that a bank is essentially “a utility with a compensation scheme”, which the public has to bail out if it fails.
Has the moment for greater UK hedge fund regulation passed?
Tuesday’s grilling of UK hedge fund executives is likely to create plenty of noise but produce little in the way of new rules.
While media-shy TCI founder Chris Hohn and others will face tough questions from the Treasury Select Committee on financial stability, short-selling and other issues, it nevertheless seems that the pro-legislation lobby’s position may be weaker than it has been in recent years.
Lessons from LTCM
As the hedge fund industry faces its biggest challenge to date, it could do worse than learn some lessons from one of its biggest disasters, the 1998 blow-up of Long Term Capital Management.
Victor Haghani, a co-founder of LTCM later involved in its liquidation and now a private investor, was opining at a LSE conference on Monday that simply cutting back funds’ borrowing after the carnage of last year may not be a strong enough lesson for the industry to learn.
