Funds Hub

Money managers under the microscope

USS’s enterprise


rtr1g12yThe 23 billion-pound Universities Superannuation Scheme (USS) is boldly going where few investors are prepared to go at the moment and upping its allocation to hedge funds.

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.

Pension funds were faced with a major problem after 2008 – do you buy or sell hedge funds?

If your equities are down 40 percentĀ and your hedge funds down 20 percent, do you invest more in hedge funds because they performed better?