Our four biennial Tomorrow’s Titans surveys – published in 2010, 2012, 2014 and 2016 in association with EY – contained in total 180 names who, together with our extended network, we judged to be rising stars with strong potential to generate high returns and grow assets. Many of them attained these aims. Despite complaints about rising barriers to entry in the hedge fund industry, it is still possible to start with tens of millions in assets, and grow to billions, within a few years. Growth drivers vary.
Asset growth can be driven by liquid alternatives vehicles such as UCITS and ’40 Act (and in some cases, such as Algebris, by long only strategies in addition to hedge fund strategies). Systematica has set up a UCITS for the equity market neutral strategy managed by Gregoire Dooms. Karya Macro has a UCITS on the Rothschild R-platform. Atreaus Macro’s UCITS sits on the Tages International Funds platform. Chenavari runs a UCITS on the Lyxor platform. One manager, Boaz Weinstein of Saba Capital, manages an Exchange Traded Fund (ETF).
Managers with funds that have won of The Hedge Fund Journal’s UCITS Hedge awards, include Ashwin Vasan’s Trend Capital, on the UBP platform; Neil Toft’s Mygale, on the ML platform; Ben Wallace of Henderson; Thierry Lucas’ Portland Hill; and Elif Aktug of Pictet. (Other performance awards, for non-UCITS funds, have been won by managers including Tony Chedraoui’s Tyrus Capital). The vast majority of Titans – over 90% – have not yet launched a UCITS or other liquid alternatives vehicle however.