Tuesday, 21 October 2014
Last updated 1 hour 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.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...