AHL’s First Down Year Hits Man Assets

Jan 19 2010 | 12:17pm ET

It was a bad year for the Man Group’s flagship managed futures strategy—its worst ever, in fact—and that made 2009 a bad year for the Man Group.

The world’s largest publicly-traded hedge fund firm said its AHL program’s struggles cost it some 3.6% of its total assets in the third quarter. AHL, which accounts for about half of Man’s assets, shed 16.9% last year, its first-ever annual loss. December is proving particularly hard on the strategy, which fell 6.1% last month, its worst monthly performance since the previous December.

All told, Man’s assets dropped US$1.6 billion to US$42.4 billion in the third quarter, the firm said. Most of that decline was the result of redeeming institutional investors, who pulled US$1 billion. Individual investors yanked just US$100 million.

But institutional investors are also helping the firm rebuild its asset base. Man said it has recently won a US$1 billion managed-accounts mandate from an unidentified pension fund, and is negotiating with several other pension funds about mandates ranging from US$300 million to US$500 million. Man CEO Peter Clarke in March said he hoped to double the firm’s managed accounts assets from US$4 billion; Man now manages US$7 billion in such accounts.


In Depth

Creating An Offshore Hedge Fund Dream Team: The Seven Key Players

Jun 26 2015 | 6:47am ET

If you want to set up an offshore hedge fund, like any great team, you’re only...

Lifestyle

Hedgies Set to Compete in Wall Street Decathlon

Jun 8 2015 | 12:37am ET

The Wall Street Decathlon — a 10-event physical challenge that will crown “Wall...

Guest Contributor

6 Essential Principles To Balance Your Investment Risk

Jun 26 2015 | 10:07am ET

In this article, financial expert Greg Silberman explores how to hedge a private...

 

Editor's Note