Funds Hub
Money managers under the microscope
Morning Line-up: Glencore, gold rush, Galleon
News and views on the asset management industry from Reuters and elsewhere:
Glencore convertibles nearly double with IPO – FT
Morning Line-Up: BlackRock bullish, IPOs, Tower Australia
News and views on the asset management industry from Reuters and elsewhere:
BlackRock founder upbeat on growth potential – FT
Morning Line-Up: Gartmore, Lehman/Nortel case, dairy bid, Ireland
News and views on the asset management industry from Reuters and elsewhere:
Gartmore mystery stake-builder- FT
Lehman/Nortel pension UK court case – Reuters
Morning Line-Up: buy-out top up ruling, Pru’s AIA deal discount, F&C in “bully” case
News and views on the asset management industry from Reuters and elsewhere:
Private equity chief “in breach” for refusing fund’s top-up – FT
Pru to soothe scalp-hunters with discount of AIA deal costs - Times
Morning line-up
News and views on the hedge fund sector from Reuters and elsewhere:
Morgan Stanley to raise capital for hedge fund clients – Reuters
GLG Partners opens offices in Asia - Reuters
Cadbury deal to start debate on hedge funds’ role in takeovers – Times
US bank clamp-down rattle hedge funds – FT
Morning Line-up
Hedge fund stories from the past 24 hours from Reuters and elsewhere:
Galleon to liquidate funds, despite good returns- Reuters
Sweden attempts deal to drop EU cap on hedge fund borrowing- Reuters
Hedge funds set for record returns- Money Management
Lehman hedge funds customers can claim interim income- Times
Odey to stay in the UK
So Odey Asset Management isn’t going to be leaving the UK after all.
CEO David Stewart told me today that the firm, which is planning to open a Swiss office, will “always have operations in the UK”, despite government plans for a 50 percent tax rate on top earners.
Nevertheless, the Sunday Times interview with Crispin Odey reflects the frustration many in the hedge fund industry feel from a combination of higher taxes and what they perceive as the UK’s failure to protect them from tougher EU rules, driven by the French and Germans.
Meanwhile, whilst the group will be keeping an office in the UK, this does not show tell us the future spread of its operations and whether London will be its only base for fund managers or merely one of several centres.
Odey’s moves are already closely observed in the City. He made an early call on the start of a new bull market, which has so far proved very profitable. You can be sure the City will be watching what his firm does too.
I don’t get it – apart from the opportunity for some cheap publicity, of course. The tax increase can’t cut his income by more than 17%. But the biggest part of any hedge fund manager’s income comes from bonuses linked to his fund’s performance fees. How many managers have seen their income from performance fees fall by as _little_ as 17% over the past two years?
I actually sold stuff for a living, but variations in the state of the market and in the exchange rate affected my royalty payments far more than tax changes – why do hedge fund managers appear to live in a different universe?
