Friday, 29 August 2014
Last updated 1 hour ago
Mar 18 2011 | 11:56am ET
The number of public pension plans that invest in hedge funds has increased by more than half over the past three years, according to a new study.
Almost 300 such pensions now have hedge fund exposure, according to Prequin, up from less than 200 at the end of 2007. Another 49 are poised to join their ranks this year, Prequin added.
"Public pension plans are one of the most influential groups of investors and their increased uptake of hedge funds is shaping the new institutional era of hedge fund management," Prequin's Amy Bensted, who wrote the report, said.
Bridgewater Associates, the world's largest hedge fund, is also the most popular with public plans, with 21 such clients. K2 Advisors has 19, Grosvenor Capital Management 17, GAM Holding and Pacific Alternative Asset Management 12 each, and BlackRock 11.
Public systems have also almost doubled their hedge fund allocations over the last three years and change. At the end of 2007, the average pension had 3.6% of their assets in hedge funds; now, it's an average of 6.6%.
The Prequin study also shows that most public plans get their start through funds of hedge funds; four out of five pensions that made their maiden hedge fund investments last year did so with funds of funds, and some 70% of all public plans investing in hedge funds have some fund of funds exposure.
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…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...