Archive for 2009


In departure from tradition, merger arb funds now seem to be hitching their wagons to the S&P

Dec 8th, 2009 | By Alpha Male | Filed under: Academic Research, Hedge Fund Industry Trends, Today's Post

Merger Arbitrage has long been described as short put on the S&P. But the times may be a changin'...


Does the prime brokerage sec lending model need resuscitation?

Dec 7th, 2009 | By AAA Staff | Filed under: Hedge Fund Industry Trends, Hedge Fund Regulation, Today's Post

Securities lending in it's old-school, pass-around-the-securities-and-collect-the-fees form is seemingly gone for good. But what form it will take now?


Infrastructure fund fees “make us much less supportive” of the asset class: Watson Wyatt

Dec 6th, 2009 | By Alpha Male | Filed under: Hedge Fund Industry Trends, Today's Post

A report by one consulting firm shows that hedge funds certainly don't have a monopoly on complex and confusing fee structures.


Hedge funds plowing into stocks, short

Dec 3rd, 2009 | By AAA Staff | Filed under: Hedge Fund Industry Trends, Today's Post

Recent reports and anecdotal evidence suggest hedge funds are still throwing money at stocks. The only problem is the majority of the cash is going into shorts.


Two amazingly simple rules for making alpha/beta allocations

Dec 2nd, 2009 | By Alpha Male | Filed under: Academic Research, Performance, Analytics & Metrics, Today's Post

Leave it to the investment practitioners to come up with, well, "practical" tools...


It’s all hedge funds’ fault – again

Dec 1st, 2009 | By AAA Staff | Filed under: Institutional Investing, Today's Post

Who else to blame but hedge funds for going for low-hanging emerging markets fruit and forcing more credit crisis-inspired woes?


7 Questions for Anthony Scaramucci of Skybridge Capital

Nov 30th, 2009 | By Alpha Male | Filed under: Hedge Fund Industry Trends, Today's Post

You might be surprised at how many of today's hedge fund behemoths began life as a seeding project - as hedge fund seeder Anthony Scaramucci tells AllAboutAlpha's Andrew Saunders.


Hedge fund alpha remains in the eyes of the beholder

Nov 29th, 2009 | By Alpha Male | Filed under: Academic Research, Performance, Analytics & Metrics, Today's Post

A recent study questions the validity of alpha calculations based on common hedge fund indices. Others have wondered the same for years, but is this concern really just a red herring?


The Ineichen Dialogues Act II: LaRasmussteinmontians in Yellowstone Park

Nov 27th, 2009 | By Alpha Male | Filed under: Featured Post

This month, we bring you Act II of Alexander Ineichen’s “Ineichen Dialogues” (Act I here)  In it, his three characters Winnie-the -Bear, George Jones and Ben Put discuss recent developments in the financial world with the kind of clarity your children will surely appreciate (pdf version). By: Alexander Ineichen, CFA, CAIA Once upon a time, not so [...]


Illegal Alpha

Nov 26th, 2009 | By AAA Staff | Filed under: Hedge Fund Industry Trends, Today's Post

Sure, alpha exists and can be obtained. The question, though, in the age of frauds, blowups and misnomers, is: can it be attained legally?


A cornucopia of scrumptious news

Nov 24th, 2009 | By Alpha Male | Filed under: AAA Newsreels, Today's Post

All the news that's fit to eat this Thanksgiving.


ETF hedge funds: The Infinite Monkey Theorem

Nov 23rd, 2009 | By AAA Staff | Filed under: Alternative Beta & Hedge Fund Replication, Today's Post

If a monkey hitting keys on a typewriter at random can eventually reproduce Shakespeare's works, can an ETF loosely based on a hedge fund strategy eventually replace a hedge fund manager, and the fees he or she charges?


Is the vaunted “illiquidity premium” partially an illusion?

Nov 22nd, 2009 | By Alpha Male | Filed under: Academic Research, Hedge Fund Operations and Risk Management, Performance, Analytics & Metrics, Today's Post

An academic study finds that a hedge fund's source for pricing data can tell you a lot about its propensity to "smooth" returns.


When skittish hedge fund investors and lenders become a problem for everyone

Nov 19th, 2009 | By Alpha Male | Filed under: Academic Research, Hedge Fund Operations and Risk Management, Hedge Fund Regulation, Today's Post

A study by the European Central Bank explores what happens when hedge fund investors and prime brokers want their money back in a hurry.


Pass the fees, please

Nov 18th, 2009 | By AAA Staff | Filed under: Investment Management Fees, Today's Post

Still more evidence that hedge fund managers aren't going to climb back above their high water marks for the foreseeable future. The question is how much longer managers will be willing to tough it out.