Daily News

FUNDS
Comment from Nicholas Wall, portfolio manager, Old Mutual Global Strategic Bond Fund, Old Mutual Global Investors. Greece plans to issue a new benchmark five-year bond. We believe that changes in the European political landscape, together with recent strong economic data, mean the bond should perform well. When deciding whether to invest in Greece, or any other European country that has found itself in difficulty amid the debt crisis,... Read more
FUNDS
London Stock Exchange today welcomed Gabelli Merger Plus+ Trust PLC, a newly incorporated close-ended public limited company, to trading on the Specialist Fund Segment of the Main Market. Gabelli Merger Plus+ Trust PLC raised gross proceeds of $100,111,000. Robert Barnes, Global Head of Primary Markets and CEO Turquoise, London Stock Exchange Group said: “Welcoming the second Gabelli fund to our markets today is a milestone for the company... Read more
TECH
Quantifi, a provider of risk, analytics and trading solutions, today announced that Oesterreichische Kontrollbank Aktiengesellschaft (OeKB) has extended its usage of Quantifi for enterprise market risk. Established in 1946, OeKB is Austria’s main provider of financial and information services to the export industry and capital markets. In 2015, OeKB selected Quantifi as its front-to-middle office solution for counterparty risk and IFRS 13... Read more
FUNDS
Diverging market views on the euro-area outlook offer investment opportunities, says Paul Shanta, portfolio manager, Old Mutual Absolute Return Government Bond Fund, Old Mutual Global Investors: Mario Draghi rattled fixed-income markets last month when the European Central Bank (ECB) president hinted at the eventual unwinding of the stimulus programme underway in the euro area: bond yields spiked and the euro lurched higher. On Thursday, after... Read more
PEOPLE
Jersey Finance has appointed Tom Powell as Business Development Director for Funds. Powell, who is based in Jersey, will be focused on promoting Jersey’s funds sector. With the total net asset value of funds under administration in Jersey standing at its highest ever. Powell will be emphasising Jersey’s proactive environment for managers seeking to market into both mainland Europe and to the UK post-Brexit, through national private... Read more
FUNDS
Aspect Capital (Aspect), the US$6.3bn systematic investment manager, is extending its alternative risk premia funds available to investors through yesterday’s launch of the Aspect Absolute Return Fund and the Aspect Core Trend High Volatility Fund. The Aspect Absolute Return Programme is a systematic multi-risk premia strategy managed by Aspect’s managed futures research team. The Absolute Return Programme adopts a balanced set of... Read more
FUNDS
Most alternative investment management firms are able to turn a profit and expand with considerably less than $100m in assets, according to a survey of sub-$500m firms by the Alternative Investment Management Association (AIMA), the global representative of alternative asset managers, and GPP, the boutique prime broker. The joint AIMA/GPP survey of 135 alternative asset managers globally found that the average break-even point is around $86m,... Read more
PEOPLE
Man Group has announced a number of internal promotions within Man AHL, its diversified quantitative investment manager. These appointments aim to ensure continuity of leadership at Man AHL. Antoine Forterre and Matthew Sargaison have been appointed co-CEOs of Man AHL, reflecting their instrumental roles in the development and execution of Man AHL’s strategy over several years. Forterre and Sargaison will continue to report to Sandy... Read more
FUNDS
IPM, the systematic macro manager, has launched a Delaware feeder fund to respond to increased demand from a large pool of investors in the US wanting easy access to its flagship macro strategy. The fund, which was seeded on 1 June by IPM, will feed into its Cayman flagship master fund, launched 11 years ago with assets currently close to $700 million. The US market, arguably the most sophisticated and developed in terms of size and allocations... Read more
FUNDS
More than three quarters (77%) of UK fund managers believe that the UK Government should have consulted the asset management industry more before commencing Brexit negotiations, according to a new report from MJ Hudson, the independent asset management consultancy. The report, based on a survey of more than 300 fund managers and investors in the UK, Europe and the rest of the world, also revealed that 80% of UK fund managers do not believe the... Read more
PEOPLE
SteelEye, the compliance technology and data analytics firm, has announced the appointment of Matt Smith as Chief Executive. His appointment will aim to help drive the firm’s growth as it markets its secure and scalable data storage platform. The SteelEye product has been designed to help financial firms meet their obligations under MiFID II. Smith joins from Bloomberg where he was a senior product manager working on a range of financial... Read more
TECH
IHS Markit has announced the launch of RPA Manager, a service helping asset managers acquire investment research in compliance with MiFID II. To reduce the potential for conflicts of interest, MiFID II requires asset managers to separate payments for research from trading commissions due to brokers that provide research. If an asset manager intends to use its clients’ assets to fund research payments, the manager must disclose research... Read more
REGULATORY
Four in 10 alternative asset managers have said they are under pressure to review their investment structures and potentially strengthen them in order to ensure they are BEPS-compliant, according to new research commissioned by Intertrust. The Base Erosion and Profit Shifting regulation (BEPS) refers to tax avoidance strategies that exploit gaps and mismatches in tax rules to artificially shift profits to low or no-tax locations. In June at the... Read more
CORPORATE
Prestige Capital Management Limited (‘PCM’), the AIFMD-licensed Malta arm of the Prestige group of companies, is continuing to expand its Malta-based operation with the appointment of Dario Inclimona as junior portfolio manager to its growing team. Dario will be working alongside Jonathan Scott, who joined PCM as Chief Operations Officer in November 2016, and will be looking after day to day fund investment portfolio operations. This... Read more
FUNDS
The gross return of the SS&C GlobeOp Hedge Fund Performance Index for May 2017 measured -0.13%. Hedge fund flows as measured by the SS&C GlobeOp Capital Movement Index advanced 1.24% in June. “SS&C GlobeOp's Capital Movement Index for June 2017 rose 1.24%, a strong improvement in net flows from the -0.07% reported a year ago for June 2016,” said Bill Stone, Chairman and Chief Executive Officer, SS&C Technologies... Read more
FUNDS
Global risk appetite remained steady during the recent months, despite continued investor concerns over asset price valuation and political risks, according to Lyxor's latest Hedge Fund Brief. The MSCI World is up 3.5% in Q2 as of early June*. Yet, sovereign bond yields remain very low and yield curves flattened, raising questions over investors’ confidence on the pace of economic activity going forward. Hedge fund performance has been... Read more
FUNDS
In reaction to the French legislative election results, Timothy Graf, head of macro strategy EMEA at State Street Global Markets, and Elliot Hentov, head of policy and research – official institutions EMEA at State Street Global Advisors, offer their views. Graf comments, “The confirmation of a Republique En Marche (REM) majority in the National Assembly caps an astonishing six weeks in French and Eurozone politics. President... Read more
CORPORATE
Societe Generale Corporate & Investment Banking (SG CIB) has announced the completion of a programme to combine its execution teams, adapting to increasing demand for fully integrated electronic and high-touch trading services across asset classes. In the final stage of this integration, the investment bank’s high-touch cash equity team has moved to join the Global Execution Services (GES) team within Societe Generale Prime Services.... Read more
FUNDS
Hedge funds returned an average of +0.21% in May 2017, and aggregate returns are +3.20% YTD in 2017 according to eVestment’s Hedge Fund Industry Asset Flow Report. May performance was led by funds focused on corporate capital structures, while commodity and currency funds continue to be the primary drag on industry performance. Asset flows for the month stood at $10.52 billion for the month, bringing YTD flows to $23.32 billion. Total... Read more
PEOPLE
P. Schoenfeld Asset Management LP (“PSAM”), have announced that John McVeigh has joined the firm as a Deputy Portfolio Manager of US Merger Arbitrage. McVeigh brings more than 12 years of investment experience in merger related situations to PSAM. Most recently, he was a Managing Director at TIG Advisors, a global event-driven fund focused on M&A, corporate restructurings and merger related special situations with more than $1.5... Read more
FUNDS
Seven weeks ago, UK Prime Minister Theresa May called a snap election with the aim of consolidating power for the Conservative Party ahead of negotiations to leave the European Union (EU). This high-risk political strategy has failed with the party losing its majority and the UK heading towards a hung parliament. Michael Browne, Portfolio Manager European long/short, looks at what this now means for investors and the UK economy. Another shock... Read more
CORPORATE
Richard Buxton, head of UK equities, Old Mutual Global Investors   This was a vote on income and asset inequality across the age brackets. While the result may not have been the obvious preference of the financial markets, there remain reasons to be optimistic.   Most of us had become familiar with Theresa May’s distinctive prime ministerial style in the nearly 10 months she’d been living behind that famous black door.... Read more
CORPORATE
Commenting on the results of the UK general election, John Wyn-Evans, Head of Investment Strategy at Investec Wealth & Investment, said:   “The reaction in financial markets is muted. From a global perspective we have to put this election into context. It really means very little for the rest of the world, which we have to bear in mind in the face of the face of shrill wall-to-wall domestic media coverage.   “The... Read more
CORPORATE
In reaction to the UK general election results, Michael Metcalfe, global head of macro strategy at State Street Global Markets; and Bill Street, head of investment for EMEA at State Street Global Advisors, offer their views.   Metcalfe commented, “Markets were poorly prepared for this surprise result in UK. While the dramatic narrowing in polls prior to the vote had introduced an element of doubt, an outright Conservative victory was... Read more
CORPORATE
Cutler Cook, Associate Director at PAAMCO, shares his thoughts on last nights UK election result.   “The U.K. election has been a case study in the complexities of polling; turnout patterns have changed in the aftermath of the Brexit referendum, which mobilized young voters, who now know where to find their polling station; age trumps social background, which may be the beginning of a new global phenomenon, and we have seen two in/out... Read more
FUNDS
The long journey to European Central Bank (ECB) policy normalisation continues in baby steps. The ECB left policy unchanged but acknowledged that the risks to the growth outlook are no longer “tilted to the downside” and that it does not foresee cutting interest rates over the medium term. This is eminently sensible – the ECB could neither credibly look the market in the eye and deny the improvement in the macroeconomic picture... Read more
CORPORATE
In reaction to the European Central bank (ECB) meeting today, Timothy Graf, head of macro strategy at State Street Global Markets; and Antoine Lesné, EMEA head of ETF strategy at SPDR ETFs, part of State Street Global Advisors, offer their views.   Graf commented: “Today’s remarks from ECB President Draghi offered few surprises. The tone to European data has clearly been positive this year and should support the single currency... Read more
CORPORATE
Cutler Cook, Associate Director at PAAMCO in London, has put together the following brief comments on different post UK Election scenarios for hedge fund investments.   On what to expect “As we saw after Brexit, we expect to see most of any market volatility play out first through the currency and from there through to stocks. We anticipate that a larger Tory majority will result in a stronger pound, which could in turn ripple through... Read more
REGULATORY
Fund managers in Japan now typically allocate up to 10% of their total expenses on regulatory compliance, according to one of the largest surveys of Japanese fund managers and institutional investors in the alternatives sector by Eurekahedge, the data provider and alternative research firm, and AIMA Japan, the Tokyo-based branch of the Alternative Investment Management Association (AIMA).   The survey of close to 90 firms with around US$375... Read more
PEOPLE
The Chartered Alternative Investment Analyst (CAIA) Association, a global leader in alternative investment education, today announced that Valerie J. Sill, CFA, CAIA, has joined its Board of Directors.   Ms. Sill is the President and CEO of DuPont Capital Management (DCM), where she also serves as Chief Investment Officer. Prior to joining DCM in 2004, Ms. Sill was Executive Vice President with The Boston Company and has held senior... Read more
FUNDS
Societe Generale Prime Services today announces the May 2017 performance data for its SG CTA indices.   May 2017 YTD SG CTA Index 0.00% -0.06% SG CTA Mutual Fund Index 0.01% -0.52% SG Trend Index -0.35% -2.21% SG Short Term Traders Index 0.29% -6.04% SG Trend Indicator 3.42% -1.12% CTA performance on the whole was flat in May, remaining flat for the year 2017. The Short Term Traders Index... Read more
CORPORATE
The Alignment of Interests Association, (“AOI”) a non-profit investor-driven organization, today released Hedge Fund Fees: Achieving Greater LP/GP Economic Alignment, a set of guidance aimed at creating increased investor-manager alignment on the issue.AOI’s Hedge Fund Fees guidance was developed by a committee comprised of leading institutional investors in hedge funds, including pensions, foundations and endowments, and consultants for... Read more
FUNDS
Global risk appetite remained steady heading into June, despite continued investor concerns over asset price valuation and political risks. The MSCI World was up +1.5% in May, led by Japanese indices. Meanwhile, sovereign bond yields remain stubbornly low and yield curves flattened, particularly in the U.S., raising questions over investors’ confidence on the pace of economic activity going forward. As a result, the Dollar index fell -2%... Read more
FUNDS
The BRI Long/Short Equity Index’s positive attribution in May was driven largely by exposure to Growth-focused names across both the Large and Mid-Cap universes with MidCap Value and the broad-index hedge detracting.  BRI Dynamic Growth & Value Index represents the un-hedged portion of BRI Long/Short Equity Index:                             PERIODIC PERFORMANCE... Read more
CORPORATE
The past couple of weeks have been dominated by political shifts amidst relatively benign, if slightly disappointing, economic data. In Europe, the election of Emmanuel Macron has been a positive influx for European politics. The French president has reached out to Germany, promising French reforms and asking for greater European integration and social/economic policies. Angela Merkel, having already achieved everything she could for the German... Read more
CORPORATE
Mercer’s latest European Asset Allocation Survey has highlighted that 55% of the UK’s defined benefit (DB) pension schemes are now cashflow negative (up from 42% in 2016) with 85% of the remainder expecting to be cashflow negative by 2027. Cashflow negative schemes lack sufficient income from investments and contributions to pay member pensions, so typically need to sell assets to meet their liabilities. Consequently, they are more... Read more
CORPORATE
One of the concerns around GrubHub centers around the competitive landscape within the online food ordering space. With the industry still in its nascent stages, competitors such as Ubereats, Amazon, Postmates, Doordash, and a bevy of other smaller startups are all aggressively vying for market share. Prior to the company’s 1Q results, investors debated how this might negatively impact GrubHub’s growth trajectory in the long run. The... Read more
CORPORATE
Last December, Starbucks management laid out its longer-term growth plans. Central to these plans were targets of high-single digit store growth and mid-single digit comparable store sales growth. How do these targets compare to what analysts are currently modeling for the company? Store Growth Visible Alpha’s data shows that analysts expect Starbucks to open 7-8% more stores each year into 2019, which is in-line with senior management... Read more
CORPORATE
Jens Peers, CIO, Sustainable Equities and Fixed Income at Mirova reacts to the US withdrawal from the Paris climate accord. 'The Trump administration’s decision to withdraw from the 2015 Paris Climate agreement is not only irresponsible, but, frankly unacceptable and economically dangerous for the country he wants to make great again. However, there is some reprieve, as the immediate effect may be primarily psychological. The... Read more
FUNDS
LGT Capital Partners Ltd., a leading alternative investment specialist, has successfully completed the acquisition of European Capital Fund Management Ltd. (European Capital), a London- and Paris-based private debt manager, from Ares Capital Corporation. European Capitals’ Funds will remain managed by the same team led by Matthew Gordon Clark, Etienne Haubold, Stéphane Legrand and JC Morales Cortes. The European Capital team now constitutes the... Read more