Each business day HedgeCo.Net keeps you informed with the top hedge fund industry news, opinion and insight from around the globe. From the latest hedge fund launches, to the impact of regulation, competition, and investor activism - we track the topics and people that make a difference to you.
Forex Pros – Global financial turmoil and recent attacks in Mumbai will likely spur foreign fund houses still looking to enter the high potential India market to hedge their risks with local partnerships rather than going it alone.
Factors such as high brand building costs and knowledge of local issues have already spurred most international players to favour joint ventures over "greenfield" operations as they seek to tap the relatively fast-growing and savings-rich economy.
The requirement that foreign fund houses put up $50 million in capital for a wholly owned operation, compared with a tenth of that or less for a joint venture, is also seen fuelling the trend as hard-hit Western money managers seek to preserve cash.
Interactive Investor - Man Group aims to win more business from big Asian investors such as pension funds and insurers even as global financial turmoil spurs some existing clients to redeem holdings and seek safety in cash.
The world’s largest listed hedge fund group recently hired an institutional salesperson in South Korea because of the potential it saw there and was studying the long-term opportunity in China, said Tim Rainsford, managing director, Asia Pacific for Man Investments.
"It’s certainly a challenging time. At the same time, the brakes are not on in the business. We will launch products when they’re appropriate," he told the Reuters Finance Summit on Monday.
Bloomberg – Komodo Capital Management Pte’s hedge fund outperformed rivals as Chief Investment Officer Angus Cameron employed strategies he developed during Japan’s slump in the 1990s to profit from the global financial turmoil.
The Singapore-based firm’s KC Asia Fund has gained 8.3 percent this year, Cameron said yesterday. Other macro hedge funds, which seek to profit from broad economic trends by trading currencies, bonds and stocks in the region, lost an average of 6.7 percent in the first nine months of the year, according to Eurekahedge, a Singapore-based data provider.
“We traded through Japan during the 1990s,” Cameron, 37, said in an interview. “The strategies that worked then will work now.”
Government bonds “should do well in most markets” as policy makers shift their focus to supporting growth from fighting inflation, Cameron said. Central banks from Australia to South Korea have joined a global effort to cut interest rates, following the year-long credit-market seizure that has toppled some of Wall Street’s biggest investment banks, including Lehman Brothers Holdings Inc.
Independant – Gordon Brown will hail a new £1.5 billion drive to eradicate deaths from malaria in the developing world by 2015 at an emergency United Nations summit on world poverty and disease.
The initiative, to develop a vaccine and distribute bed nets and sprays over the coming years, is expected to save the lives of one million people who die from malaria every year.
It will be announced by the Prime Minister and Microsoft boss Bill Gates in New York, where 90 world leaders are gathering at the UN to discuss getting progress on the Millennium Development Goals back on track.
Mr Brown is also meeting Wall Street hedge fund chiefs to discuss the global financial turmoil which has sent shockwaves through the markets over the last week.
