Archive for May 2010


European Fund Regulations: Fad or new de facto global standard?

May 31st, 2010 | By Alpha Male | Filed under: CAIA Alternative Viewpoints Columns, Hedge Fund Regulation, Today's Post

There have been a lot of surveys on Europe's latest fashion trend: UCITSIII. Today, a guest author reports on some actual hard data on the topic.


Book Review: The “Big Short”

May 30th, 2010 | By Guest | Filed under: Today's Post

Special to AllAboutAlpha.com by: Steve Deutsch, AllAboutAlpha.com Editorial Board At the end of March I reviewed the CFA Institute’s “Insights into the Global Financial Crisis” on these pages.  Now, in my continuing search of a good explanation to the Subprime Credit Crisis of 2008-9 and the role of alternative investments in the economic calamity that followed, [...]


Convergence: A well thought-of theory, but a not-on-my-watch practice

May 27th, 2010 | By AAA Staff | Filed under: Hedge Fund Industry Trends, Today's Post

Yet another report on hedge fund convergence suggests hedge funds and long-only strategies are likely to become more entwined - in theory at least.


Researchers wonder whether dedicated short biased funds are just one trick ponies

May 26th, 2010 | By Alpha Male | Filed under: Academic Research, Performance, Analytics & Metrics, Today's Post

A recent study of dedicated short biased hedge funds reveals that when markets go up, their managers still have a trick or two up their sleeves.


Tail-Risk Management: What investors can learn from hedge funds

May 25th, 2010 | By Alpha Male | Filed under: Hedge Fund Operations and Risk Management, Today's Post

A new white paper provides a good introduction to this increasingly important topic for pensions, endowments and sovereign wealth funds.


Research shows hedge fund managers not just overpaid, blindfolded dart-throwers

May 24th, 2010 | By AAA Staff | Filed under: Hedge Fund Industry Trends, Performance, Analytics & Metrics, Today's Post

Active managers aren't just overpaid dart-throwers who close their eyes and hope for the best, according to researchers. It turns out they actually peek - which may explain their apparent out-performance.


Capturing Political Alpha

May 23rd, 2010 | By Guest | Filed under: CAPM / Alpha Theory, Today's Post

Here's another reason to count domestic and geopolitics as betas.


Hedge funds: Wrap it up UCITS and put a bow on top

May 20th, 2010 | By AAA Staff | Filed under: Hedge Fund Regulation, Today's Post

Panacea, cure-all, the ultimate fix for liquidity, transparency and due diligence issues - whatever you want to call it, UCITS-wrapped hedge funds appear here to stay.


How much wood would a woodchuck allocate if a woodchuck would allocate part of his portfolio to wood?

May 19th, 2010 | By Guest | Filed under: Commodities, Guest Posts, Institutional Investing, Today's Post

As alternative investors know, money does grow on trees after all. The trick is: how to harvest it.


A risk management wake-up call for institutional investors

May 18th, 2010 | By Alpha Male | Filed under: Hedge Fund Operations and Risk Management, Today's Post

A recent report from McKinsey & Co. is critical of the risk management processes used by many institutional investors. The firm's response amounts to a call-to-arms for risk management professionals.


By the way, is there anybody on board who knows how to fly a plane?

May 17th, 2010 | By Alpha Male | Filed under: Academic Research, Hedge Fund Regulation, Today's Post

An update on a study of the infamous 2008 short-selling bans pins the blame squarely on regulators for inadvertently making a bad situation worse.


Yum! International agri-commodities futures looking pretty appetizing (really)

May 16th, 2010 | By Alpha Male | Filed under: Academic Research, Institutional Investing, Today's Post

A study published this month in the Journal of Alternative Investments finds that agricultural commodities futures in various markets are actually served with dollops of diversifiable risk.


Study finds private equity differs markedly across Asia

May 13th, 2010 | By Alpha Male | Filed under: Academic Research, Private Equity, Today's Post

If market inefficiencies beget alpha, then is it any surprise emerging market private equity is attracting so much capital?


When is alpha not really “alpha”? When it’s “beta-alpha.”

May 12th, 2010 | By Alpha Male | Filed under: Academic Research, CAPM / Alpha Theory, Today's Post

A paper by a pair of institutional investment consultants challenges the notion of a "stock-picker's market" and finds that "beta-alpha" is the real source of returns - at least for US large cap managers.


A “new era” for funds of hedge funds: Sunrise or sunset?

May 11th, 2010 | By AAA Staff | Filed under: Hedge Fund Industry Trends, Today's Post

A new research report suggests it's a "new era" for funds of hedge funds, but the jury is still out on what that new era will entail when it comes to re-gaining the trust - and assets - of institutional investors.