Man Gets Merrill Vote Of Confidence

Mar 10 2010 | 1:36pm ET

The Man Group’s flagship strategy may have suffered its first-ever annual loss last year, but AHL

“There is no reason to assume AHL is broken,” Bank of America Merrill Lynch told its clients. “Our view is that the current behavior of AHL is relatively typical of the strategy in a trendless market.”

AHL, which manages US$21.7 billion, los 16.9% in 2009. But that is “consistent with its historical record,” Merrill said. “And if history is a guide, it should deliver performance fees” by the end of next year, as it reaches and exceeds its high-water mark.

“As a trend develops, so AHL will increase risk, leading to greater returns.”

“Whilst there is nothing particularly enjoyable about AHL’s recent performance,” the investment bank said, “nor is there anything odd about it.”

Merrill affirmed its “buy” rating for Man, the largest publicly-traded hedge fund manager in the world.


In Depth

PAAMCO: Will Inflation Deflate the Asset Bubble?

Jan 30 2018 | 9:49pm ET

As the U.S. shifts from monetary stimulus to fiscal stimulus, market pricing should...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Boost Hedge Fund Marketing ROI By Raising Your ROO

Feb 14 2018 | 9:57pm ET

Tasked with delivering returns on client capital, a common dilemma for many alternative...

 

FINalternatives Trending

From the current issue of