LONDON, July 4 (Reuters) – London-based hedge fund firm Cube
Capital has sold positions in bank debt and stocks during the
market rally of recent weeks, betting that prices will fall back
again as the euro zone’s ongoing debt crisis continues to drive
big swings in markets.
However, senior portfolio manager Nick Linnane said the
growing scandal over the rigging of the Libor interest rate -
which on Tuesday saw Barclays CEO Bob Diamond quit and which has
seen investigations into more than a dozen banks – looks
unlikely to affect the price of bank subordinated debt.
LONDON (Reuters) – Hedge funds are betting commodities trader Glencore will raise its bid for Xstrata and win over disgruntled shareholder Qatar, hoping to turn a tidy profit from the belief chief Ivan Glasenberg won’t flinch in his efforts to buy the mining group.
Funds are staying long in shares of miner Xstrata (XTA.L: Quote, Profile, Research, Stock Buzz) in spite of the fact Qatar, which owns around 11 percent of the miner, shocked markets this week with a late demand for better terms, forcing both firms to push back the timing of the deal.
LONDON, June 29 (Reuters) – London-based hedge fund firm
Adelante Asset Management has bought a position in the cut-price
bonds of debt-laden Greece, betting that efforts by European
politicians to restructure its debt mountain will provide a
short-term boost to bond prices.
The firm, which specialises in emerging markets debt, bought
a basket of bonds at 12.5 cents shortly before Greek elections
this month, won by a conservative-led government promising to
negotiate softer terms on its tough international bailout.
LONDON (Reuters) – Client demands to pull money out of hedge funds remained relatively subdued in June, data shows, in a sign that investors are still backing these freewheeling portfolios to guide them through the financial crisis.
The GlobeOp Forward Redemption Indicator, a monthly snapshot of clients giving notice to withdraw their cash as a percentage of GlobeOp’s assets under administration, measured 3.71 percent in June.
LONDON, June 22 (Reuters) – Client demands to pull money out
of hedge funds remained relatively subdued in June, data shows,
in a sign that investors are still backing these freewheeling
portfolios to guide them through the financial crisis.
The GlobeOp Forward Redemption Indicator, a monthly snapshot
of clients giving notice to withdraw their cash as a percentage
of GlobeOp’s assets under administration, measured 3.71 percent
LONDON (Reuters) – Investors fed up with losses from their mainstream hedge fund holdings are eyeing some exotic alternatives.
How exotic? How about portfolios betting on Chinese companies embroiled in fraud probes? Or funds looking to arbitrage prices in the electricity market?
LONDON (Reuters) – Hedge fund investors have voiced their concerns about complex funds designed to protect against major market meltdowns, just as fears of a break-up of the euro zone have spurred huge interest in these products.
So-called “tail risk” funds, also known as “black swan” strategies after the popular book by Nassim Nicholas Taleb, are supposed to hedge against rare but dangerous events, such as the market sell-off following Lehman Brothers’ demise.
MONACO (Reuters) – Tucked into corners of Monaco’s plush Meridien hotel and on lonely tables in sun-kissed bars overlooking the Mediterranean, anxious hedge fund managers contemplate the next six months that could make or break their careers.
Behind the glitz of the annual hedge fund shindig, the 500 or so financiers who made the trip privately confess their struggle to find winning strategies given unpredictable markets, fretting clients will lose faith and snatch back their money.
MONACO, June 20 (Reuters) – Euro zone turmoil has turned
Europe’s hedge fund managers into shadows of their former
selves: haunted by ghosts of failed bets and as deeply divided
on the fate of the indebted union as the leaders responsible for
keeping it afloat.
The community of financiers, the so-called ‘masters of the
universe’ considered able to make fortunes in all economic
conditions, are no longer dictating markets but are nervously
eyeing trades which could win or lose on a politician’s whim.
MONACO (Reuters) – The global financial crisis has barely started and is likely to last for at least another 15 to 20 years as major economies cut debt levels, according to Jamil Baz, one of Europe’s most prominent hedge fund managers.
Baz, chief investment strategist at GLG Partners, told the GAIM 2012 conference in Monaco that total debt levels in a number of major economies had actually risen since 2007 and had much further to fall before reaching “a semblance of equilibrium”.