Monday, 20 October 2014
Last updated 2 days ago
Oct 20 2010 | 12:50pm ET
Despite some sizeable outflows, the hedge fund business has continued to prove profitable for BlackRock.
The world’s largest money manager said its third-quarter net income rose 74% to $551 million, easily topping analysts’ expectations. The New York-based firm credited its acquisition in December of Barclays Global Investors, then the world’s 10th-largest hedge fund manager, for the big increase.
Still, at least some former BGI investors seem uncertain about BlackRock. Quantitative funds acquired from BGI suffered $33.9 billion in outflows, roughly half of the $64 billion in redemptions at the firm during the quarter. It is BlackRock’s third straight quarter of net outflows, following those of $33.5 billion and $30.4 billion in the first and second quarters, respectively.
Still, strong performance led to a 9% increase in assets under management to $3.45 trillion. Alternative investments accounted for $4.2 billion of that growth and now make up $105.7 billion of BlackRock’s assets. BlackRock said it suffered $300 million in outflows from alternatives funds due to its merger with BGI.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...