Passport Global Sees Assets Flee Amid Another Rough Quarter
It has been a troubling year for John Burbank and the hedge fund he founded, Passport Capital. The hedge fund shuttered its Long / Short equity fund last month amid poor performance as the firm had been battling to stem
The Market is Set to Crash - The Timing
The FOMC is engaged in an aggressive monetary policy
tightening regime, they are raising interest rates aggressively, and now
they're going to reduce their balance sheet, which is another way of saying
that they are going to take additional steps to tighten monetary policy.
Seeding Hedge Funds Increases Amid Gloom
Investors pulled $21 billion in June from hedge fund managers, with those most impacted falling in the equity long / short category, a Bloomberg Brief report pointed out. With hedge funds in a drawdown, now is that time that “cubs” are emerging from under the wings of larger managers to set up their own funds, fund of funds manager Protégé Partners observes, who looks to niche strategies to find noncorrelation. Long / short equity funds were the hardest hit by the hedge fund withdrawal, with just under $10 billion being subtracted from their assets under management, an eVestment report noted....
Institutional Investors Still Like Hedge Funds Despite Problems
But while a fairly high percentage of investors negotiated fees, JPMorgan found that just 31% of respondents didn’t have to make any concessions in their negotiations. That’s a significant decline from 2014 when about half of them didn’t have to compromise on their demands. Among the concessions were increasing their allocations to the hedge funds, longer lock-up periods, and redemption terms with less liquidity. The firm reports that 94% of survey participants pay an average performance fee that’s lower than 2%, and the percentage of institutional investors paying between 1% and 1.5% rose to 32% last year from 27% the...
Hedge Funds Generally Outperforming Tumbling Equity Markets
by Svea Herbst-Bayliss (Reuters) - For some of the hedge fund industry's titans, including Nelson Peltz and William Ackman, 2016 is starting with heavy losses as big bets on General Electric, Valeant, and Mondelez have been battered by the market's abrupt drop. But as a group, hedge funds have navigated the sharp sell-off relatively smoothly, finally boasting better performance than the equity markets they have trailed for the last years. With the Standard & Poor's 500 index tumbling another 3 percent on Wednesday to push the stock market benchmark down 10 percent for the year-to-date, most investors are feeling pain....
Pay jumps at hedge fund Marshall Wace
Bosses received bigger payouts last year as profits held strong but the number of partners dropped, splitting the income among fewer bosses
Odey Cites Druckenmiller In Warning Last Chance To Dump Stocks
Prominent UK hedge fund manager, Crispin Odey, has become one of the biggest bears over the past year or so as he worries that China is nearing collapse. Perhaps the most difficult trade for a hedge fund manager to hit consistently the target is short exposure in a portfolio. On a statistical basis considering on monthly win percentage, the lowest performing of the two directional strategies in a long / short hedge fund is the short book. Preparing for a negative shock is never easy, as hedge fund manager Crispen Odey rudely discovered in the fall of 2015. His nearly $2.5 billion Odey...
Blackstone's GSO will not backstop SunEdison debt
Earlier in the day, SunEdison shares closed up 7.6 percent on market rumors that Blackstone could backstop SunEdison's debt. GSO was not looking to invest in SunEdison, a person familiar with the mat...
Hedge fund wins on mining bet
Cape Town - Fairtree Capital, a Cape Town-based hedge fund manager, outperformed the South African stock market by more than three times after betting mining shares would fall and that offshore property companies would gain from a weaker rand. The Assegai MAP Equity Fund managed by Stephen Brown returned 8.9 percent in October for a 29 percent increase this year to the end of last month, according to the company, which has R21 billion ($1.46 billion) across 20 funds. The Johannesburg Stock Exchange All Share Index returned 8.1 percent in the same period. “We’re consistently outperforming the market...
Cedarview Capital Planning New Long/Short Equity Fund
New York-based Cedarview Capital Management is aiming to launch a new long/short equity fund in the fourth quarter of this year. Named the Cedarview Equity Opportunities Fund, the new vehicle will reportedly will trade the same long and short equity positions as those taken in the firm's event-driven Cedarview Opportunities Master Fund, according to Bloomberg. "There's definitely enough ideas flow that we invest in the [event-driven] hedge fund that can be sized differently, magnified, in a standalone," said Cedarview Capital managing partner Burton Weinstein to Bloomberg. The new long/short equity fund has reportedly been trading since July 2013 with approximately...