Friday, 27 March 2015
Last updated 2 hours ago
Jun 5 2008 | 11:07am ET
Expect institutional investors to increase their hedge fund allocations by as much as 50% over the next couple of years, according to one finance professor at the University of Pennsylvania's Wharton School.
Christopher Geczy, who heads Wharton’s alternative investments certificate program, said recent high-profile hedge fund meltdowns “do not immutably change the longer-term outlook” for the industry, and expects institutions to up their current 10% allocation to hedge funds to between 12.5% to 15%.
Patrick Egan, founder of Attalus Capital, which manages a $3 billion fund of hedge funds for institutional investors, added that institutions are increasingly moving into “active management” of alternative investments to achieve the actuarial rate of returns needed to pay for their employee's retirement.
However, David Lees, a senior partner of myCIO Wealth Partners, a consulting firm, warned that the risk of losing substantial amounts of capital in the alternatives space has also increased versus other investments.
“If you chose well, you can do very well, if you chose wrong, you can do substantially worse than average,” he said.
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…