Monday, 1 September 2014
Last updated 3 days ago
Apr 18 2013 | 1:44pm ET
The biggest hedge funds are getting bigger—through increased use of leverage.
Hedge Fund Alert's list of the largest 200 hedge fund managers saw widespread growth, with that group now managing $3.3 trillion, up from $2.7 trillion last year. The number of hedge funds with at least $10 billion in assets increased to 90, from 74, and those with at least $25 billion increased to 32 from 20.
HFA's list is unusual among industry rankings, in that it lists managers by gross assets under management—including leverage. And that explains why, despite modest returns and inflows, the biggest hedge funds have gotten so much bigger.
Take HFA's largest hedge fund this year, Millennium Management. The New York-based firm has just $16.9 billion in equity capital, but its gross assets are an astonishing $198.2 billion, enough to top what is generally seen as the world's largest hedge fund by assets, Bridgewater Associates.
Bridgewater did come in second on the HFA list, with $139.3 billion. The firm is hurt also by HFA's exclusion of separate accounts and other vehicles. Last year's leader, Citadel Investment Group, fell to third this year with $107.6 billion in gross assets, followed by BTG Pactual Asset Management ($78.9 billion) and SAC Capital Advisors ($75.4 billion).
Pine River Capital came in sixth with $74.5 billion, more than twice its gross assets last year. Also doubling up (or more) from last year were MKP Capital Management at $24 billion and Structured Portfolio Management at $11.8 billion.
JPMorgan Chase, which includes Highbridge Capital Management, had gross fund assets of $26.5 billion.
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 ...