Wednesday, 26 November 2014
Last updated 5 hours ago
Nov 21 2007 | 8:04am ET
When the dust from the credit crisis clears, Peter Clarke expects to see an awful lot of casualties.
The Man Group CEO says he expects more than 10% of hedge funds will have gone out of business by the new year; for every high-profile disaster, there is plenty of “quiet withering” going on. Worse, he told the Financial Times, the credit crunch has also put the brakes on new hedge fund launches, which are down by a third.
“Historically, the hedge fund world has seen somewhere between a 5, 6, 7 percent attrition rate in terms of funds closing or ceasing business; I would expect to see that, and this is a pure guess of course, maybe reaching twice that,” Clarke told the FT.
Clarke says his firm, the world’s largest listed hedge fund manager, is concerned about the decrease in launches.
“To some extent [the slowdown] is bad news for us because clearly we like to have an inventory of people to allocate money to,” he said.
Nov 4 2014 | 9:45am ET
Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…
Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...