11/02/2010
The Hedge Fund Standards Board (HFSB), whose code of practice is obligatory for its members, has added representatives of two of world’s biggest hedge fund investors to its board in a move that suggests a growing recognition of investor power.
New Holland Capital is hedge fund advisor to €240bn ($329bn) Dutch pension scheme APG, the largest of its kind in Europe, while The Future Fund manages public pension funds for teachers and health workers in Australia.
In a statement released today, HFSB also announced that BlueCrest Capital Management and Winton Capital Management, two of London’s most
11/02/2010
NEWSPAPERS & WIRES
Och-Ziff Capital Management’s fourth-quarter losses narrowed as hedge fund companies' core business improved sharply, reports the WSJ. One of only a small number of publicly traded hedge fund firms, Och-Ziff benefited from a big jump in incentive income, which surged to $345.6m from $6.7m a year earlier, thanks to funds' positive performance. Lower non-compensations expenses also helped. In January, the average hedge fund was down. Some veteran managers bucked the trend, turning in gains, says the WSJ. Funds run by some managers such as Daniel Loeb's Third Point and Dan Gold's QVT Financial were up
10/02/2010
The total value of the Ucits-compliant hedge fund universe now exceeds £35bn ($54.8bn) and is likely to continue to grow in the near future, Hedge fund Research (HFR) said today.
According to the data provider, there are now more than 200 hedge funds compliant with the Ucits III guidelines, the third iteration of the EU’s highly regulated fund wrapper, with the majority of growth taking place in the last two years. The guidelines were initially introduced in 1989.
“As the structural requirements of institutional investors continue to shape the landscape of the industry, funds conforming to Ucits
10/02/2010
NEWSPAPERS & WIRES
More than 200 hedge fund offerings now comply with Ucits III guidelines, reflecting the continued evolution of the industry to meet institutional investor standards, according to HFR, provider of data and analysis of the hedge fund industry. The number has grown rapidly in the last 18-24 months, before which time few hedge funds offered Ucits III products to investors. Total hedge fund assets under management in Ucits III-compliant funds now exceed £35bn ($54.8bn), a figure that is likely to continue to grow in the near future.
Britain must withhold its consent to European Union rules
09/02/2010
NEWSPAPERS & WIRES
Traders and hedge funds have bet nearly $8bn against the euro, amassing the biggest ever short position in the single currency on fears of a eurozone debt crisis, the FT reports. Figures from the Chicago Mercantile Exchange showed that investors increased their positions against the euro to record levels in the week to 2 February. The build-up represents more than 40,000 contracts traded against the euro, equivalent to $7.6bn, and suggests a loss of confidence in the euro’s ability to withstand contagion from Greece’s budget problems.
DE Shaw, the world’s third-largest hedge fund with about
08/02/2010
NEWSPAPERS & WIRES
Global hedge funds started 2010 with small losses after markets fell on fears that the global economic recovery was stuttering, data released on Friday show. According to the data from industry tracking group HFR, the average fund dipped 0.71% in January with deeper losses at so-called global macro hedge funds pulling the overall index down, Reuters reports. Other research firms are expected to release their numbers this week.
Brevan Howard, Europe’s largest hedge fund, plans to open an office in Geneva amid growing uncertainty over taxation and market regulation in the UK. In a letter
05/02/2010
NEWSPAPERS & WIRES
Hermes Fund Managers will allow all its investors to claw back performance fees, the group told Reuters, in a move that could herald fundamental change in an industry battling client anger over excessive charges. The UK firm – owned by British Telecom's pension fund – will roll out to its entire range the fee structure recently brought in at its hedge fund business as it aims to attract third-party mandates."We are not going to receive the performance fee in one lump sum. We receive a third only. Only if we meet or beat benchmark the following
03/02/2010
The first redrafting of the Alternative Investment Fund Managers (AIFM) Directive by new EU Council president Spain was made public today, just hours after a key Bank of England committee released a report criticising the work of the presidential predecessor.
The Spanish draft – dated 1 February, but published today – has addressed a number of flashpoint issues, concentrating on depositories, third-countries, scope and remuneration. Under the new proposals, depositories will be allowed, where legally permitted, to sublet liability, while the remuneration proposals, though left intact, have been clarified in terms of the staff to who they
03/02/2010
The UK-based University of Cambridge’s £1.05bn ($1.67bn) endowment has revealed fresh plans to increase its sizeable hedge fund allocation, as a number of academic institutions display an increased appetite for hedge fund-
related risk in 2010.
The Cambridge fund, which currently has about 17% exposed to hedge funds, is looking to increase its hedge fund allocation to around 20% by mid-2010, chief investment officer Nick Cavalla told HFMWeek. The move will translate to roughly £31.5m ($50.2m) in fresh investment.
Cambridge currently has investments with 15 managers and is looking to bolster the ranks with a further
03/02/2010
Vicis Capital, the multi-billion dollar hedge fund set up in 2004 by ex-Lehman trader John Succo, has frozen plans to launch a second fund, following a run of investor redemptions.
The options trading manager, where two executives are also currently under investigation by the FBI, had decided to create a second fund after heavy redemptions at the end of last year forced it to impose gates on its flagship product.
At the time, Vicis Capital offered investors the option of siphoning off a portion of the more illiquid assets into a separately traded vehicle, while the
