News

Slowing growth likely to change hedge fund priorities, survey finds

SurveyConcerns over slowing economic growth could drive a shift by hedge fund investors towards global macro-managed futures strategies and fixed income and away from equity strategies in the year ahead, according to a survey.

The BarclayHedge MPI hedge fund investor survey of 116 institutional hedge fund investors and fund of hedge fund managers also found that:
     •  low correlation is expected to be the hedge fund characteristic that delivers the highest investor value in 2019.
     •  among newer hedge fund strategies, investors are considering allocating to, or implementing funds using artificial intelligence or machine learning.
     •  more than a third of investors think hedge fund allocations will increase in 2019.

More than a third (38%) of respondents listed slower growth as the biggest risk in 2019, a significant jump from March of last year, when 12% of respondents listed it as the top risk.

The two other top investor concerns for 2019 are rising interest rates (29%) and a stock market reversal (21%).

©2019 funds europe

Top features in May

Irish ETFs: Covid’s challenge to ETF project deadline

Ireland seeks greater efficiencies for its ETF industry, but lockdown threatens to delay a key plan to upgrade operations before the end of the year. Nicholas Pratt reports.

Association column: Where do we go from here?

The gravity of what is happening as a result of Covid-19 casts a long shadow over other thoughts. Accompanying the shock, distress and grief, the demonstrations of selflessness, compassion and resilience have lifted our collective spirit. We are indebted to all those who do the extraordinary for others.

Exchange-traded funds: With flying colours?

ETFs recently marked their 20th birthday in Europe amid uncertainty and volatility. The Covid-19 crisis has hit indices hard but opportunities in these index-based investments still exist, say experts.

Technology: Tech will ‘democratise’ wealth management

With the help of technology, retail investors will be able to access assets previously available only to institutional clients. Bob Currie reports on new research by Funds Europe and Calastone.

Post-Covid-19: There’s no going back

Covid-19 has prompted fund managers to consider how the world will change – perhaps forever – in terms of globalisation and, notably, the response to climate change. By Alex Rolandi.