Fairfield May Not Invest With Brevan Howard

Aug 30 2011 | 12:03pm ET

One Connecticut pension plan is having second thoughts about Brevan Howard Asset Management.

The Town of Fairfield Joint Retirement Investment Board voted to award its first-ever commodities mandate to the hedge fund in May. But now the $273 million public pension has placed that award under review following due diligence conducted by its consultant.

Indeed, it seems likely that Fairfield will junk the planned $9 million Brevan Howard investment entirely: It has asked the consultant, Callan Associates, to "come back with recommendations on other commodities managers," HFMWeek reports.

After looking into the Brevan Howard Commodities Strategic Master Fund, Callan expressed "reservations," noting that the fund is "energy heavy." Brian Vahey, a member of the Fairfield board, told HFMWeek that "the board likes lower volatility."

Callan did have some nice things to say about Brevan Howard, saying its model "makes sense" and praising the firm's "strong risk management."


In Depth

Whisky Business: The Ultimate Liquid Alternative Investment

Sep 15 2014 | 7:02am ET

David Robertson knows his single-malt whisky—he was the Master Distiller at the...

Lifestyle

Hedgies Rock Out For Children's Charity

Sep 15 2014 | 8:40am ET

It's that time of year again—when hedgies trade in their spreadsheets for guitars...

Guest Contributor

The Cult of Loss Aversion: A Call to Rethink Risk in Global Macro Investing

Sep 4 2014 | 5:45am ET

In the wake of a traumatic loss, whether it is financial or personal, it is just...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    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…

 

Futures Magazine

July/August 2014 Cover

In search of the ‘new normal’ at the Fed

The Federal Reserve keeps baby-stepping toward a “normalization” of monetary policy. But just what is normal?

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.