Hedgeworld Conference Panel Recap

Recap of Oct. 6, 2009 Hedgeworld panel on “Pitching Investors”

Changing Hedge Fund Investor Base

Hedge funds attracting more institutions, fewer private investors.

- Process-driven investing, regulatory burdon, method of access all lead to a level of sophistication for direct investing or through FOFs.

Get Ready to Update the Database…Again

 
As if everyone’s database wasn’t already in tatters.  Today comes news of the expected consolidation wave that will roll-up the Swiss FOF industry.
 
In an article in Hedgeworld/Reuters, Martin de Sa’Pinto commented that the “you can get there from here” nature of the compensation structure will compell FOFs into one another’s arms.
 

“Many of Switzerland’s smaller fund [...]

Required Reading – DB Hedge Fund Survey

Highlights from this year’s DB alternative investment survey.

A word on humility and professionalism

I pulled out  a couple excerpts below from an obvious but informative piece that recently came across the transom. the email from Hedgeworld hit my inbox as I was hanging up with a Geneva based investor member. A fund of fund that creates portfolios for private banks he felt like he was doing all the [...]

What happens when 30% of 50% goes away?

While hard data on the hedge fund industry is hard to come by, it is commonly understood that 50% of single manager money comes from FOFs.
According to Hedgeworld, 30% of that 50% is gone, with significant implications for raising new capital. To name a few:
- consolidating positions
- knock-on redemptions
- legitimate concern over business viability
- limited [...]

FOF’s respond to Swenson’s “evaluation” of their business

After a miserable 2008, the last thing FOF’s needed was David Swenson, CIO of the Yale endowment, one of the most respected endowment chiefs referring to them as,  “Fund of funds are a cancer on the institutional-investor world. they facilitate the flow of ignorant capital.”
After poor performance and the miserable Mr. Madoff, Swenson’s comments had [...]