Wednesday, 25 November 2015
Last updated 5 hours ago
Sep 23 2011 | 11:21am ET
A major insurer is turning to alternative investments to do what bonds can't in this low interest-rate environment: boost returns.
The Hartford Financial Services Group plans to double its hedge fund and private equity investments, Bloomberg News reports. The firm will increase its alternative investments allocation from 2% to 4% over time, a jump of more than $2.5 billion based on the Hartford's $132 billion portfolio.
"We're taking cash and maturing bonds and we're starting to move those selectively into a variety of different alternative-asset vehicles," Gregory McGreevy, chief investment officer, said.
"We're attempting to put together a portfolio that's going to provide very solid returns under a variety of different market conditions."
McGreevy added that the Hartford may increase its alternatives bets even further that the planned doubling, depending on market conditions.
The insurer said it favors discretionary global and long/short hedge funds. On the private equity side, McGreevy said the Hartford would shy away from the largest funds in the industry, favoring middle-market funds.
Oct 21 2015 | 10:41am ET
One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…