Thursday, 2 October 2014
Last updated 15 hours ago
Nov 1 2010 | 12:35pm ET
New York-based AIFAM Inc. has launched a fund of hedge funds targeting Japanese pension funds.
The long/short equity strategy isn't new to the US$600 million firm—it has run managed accounts using it since 2006, earning between 2% and 3% annually. Now the firm, which is based in New York but boasts Tokio Marine Holdings as a major minority investor, is hoping to ramp up both the strategy and its performance.
The AIFAM Hedged Equity Fund is targeting returns of about 6% per year, founder Takuma Aoyama told Bloomberg News. The fund, which debuted with US$17 million in proprietary capital yesterday, hopes to raise US$50 million by the end of the first quarter and US$150 million in its first year.
"Japanese pension funds are faced with serious problems," Aoyama said. "We're not making any promises that we're going to offer a fund that will not be affected by the market moves at all, but instead, we're going to offer a fund that will allow investors to shrink their losses with the same capital they may invest in other asset classes."
The new fund has a capacity of about US$1 billion and invests in between 12 and 15 underlying global long/short managers, including some sector-specific managers. It will steer clear of emerging managers and those with long lockups, with a goal of being able to liquidate the entire portfolio in a month.
The fund will charge no performance fees, to avoid incentivizing its management team to take greater risks.
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…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...