Tuesday, 16 September 2014
Last updated 3 hours ago
Jun 15 2010 | 6:58am ET
Despite May’s woes, HSBC Private Bank couldn’t be more optimistic about hedge funds.
The firm reiterated its overweight position in hedge funds, saying they are a better bet than global equities, which HSBC slashed its exposure to in April.
“Hedge funds are traditionally well-placed to look at relative value between assets and to exploit pricing anomalies,” Fredrik Nerbrand, head of global strategy at HSBC Private Bank, said. “They also tend to be good at taking advantage of higher volatility in the markets, which we are currently observing.”
Why? “In contrast to the majority of 2009 in which investors were rewarded for taking on risk, we believe 2010 will be a rather different environment—a year of differentiation where equity and bond markets are likely to be lower than they have been since March 2009,” Nerbrand explained. “Therefore, it will be more difficult for investors to make money just by being long; other strategies need to be implemented to increase expected portfolio returns.”
HSBC is especially bullish on long volatility and discretionary macro strategies, Peter Rigg, head of alternative investments at the firm, added.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
The Federal Reserve keeps baby-stepping toward a “normalization” of monetary policy. But just what is normal?