Author Archives: gurvich1
Managed funds and ETFs – understanding the similarities and differences By Graham Hand
Managed funds are supposedly a non-transparent and expensive way of investing, while ETFs are increasingly touted as low cost investment saviours. Graham Hand outlines how similar the two investment products are when compared on a like-for-like basis and highlights the features that can set a managed fund apart. Exchange Traded Funds and managed funds are very similar. In fact, “ETFs are listed managed funds” according to the Australian Securities Exchange …
ETFs flourish as alpha stay elusive By David Ricketts
ETFs flourish as alpha stays elusive By David Ricketts It is no secret that active managers have received considerable flak for often failing to outperform benchmark indices and generate returns in line with their handsome fees. Investors remain convinced that those with superior investment clout should be best placed to navigate market turbulence in search of the highest possible returns. Figures suggest performance among active managers has been lacklustre, to …
Insight: Absolute return funds: no sure refuge By Sinead Cruise and Tommy Wilkes
Thu, Aug 18 2011 LONDON (Reuters) – Absolute return funds could be turning into Europe’s next investment mis-selling row. As freefalling equity and bond markets ravage people’s savings, private investors globally are piling into the funds, which aim to deliver positive returns whether markets are rising or falling. That demand has driven the assets held in absolute return funds to 182.1 billion euros globally at June 30, data from Lipper, …
Time to revisit absolute-return strategies? By Gordon Ross
Published: August 19, 2011 Central banks’ attempts to sustain the global recovery have left many bond investors in a tricky position. With rates at extreme lows, there is little room for further declines and consequently less opportunity for bond investors to achieve capital gains. Unless the economy slips back into recession, yields should move up in the next year or so, leading to capital declines in fixed-income strategies managed against …
Indiana Public Retirement drops GMO as absolute-return manager By Barry Burr
By Barry B. Burr Published: November 4, 2011 Indiana Public Retirement System, Indianapolis, terminated GMO, which ran $132.3 million in an absolute-return strategy for the $23.5 billion system, according to an investment board report.  “In our continuous effort to mitigate the overall fund’s correlation to equity markets, it is our desire to minimize directional bets in the hedge fund portfolio,” the report said. “Approximately 70% of the monies in …
Separate Accounts way forward, says hedge fund industry legend
Separate accounts way forward, says hedge fund industry legend Oct 19, 2011 by Charles Gubert Hedge fund managers will inevitably have to create separate accounts or structures that afford investors the same rights as separate accounts if they are to retain business, hedge fund industry veteran Frank Meyer has said. Separate accounts are tailored offerings for investors, which enable greater transparency and allow clients to maintain control over assets. The …
Senate to Hold Hearing on ETFs | ETF Trends
Senate to Hold Hearing on ETFs October 16th at 2:29pm by John Spence Current Affairs News: The Senate will hold a sub-committee hearing on Wednesday related to exchange traded funds and how the popular investment products may be affecting market volatility and if they pose systemic risks to the market, IndexUniverse reports. Those scheduled to testify at the hearing include Noel Archard, a managing director at BlackRock ETF manager …
Active ETFs Likely to fuel in US Market
PrintĂ‚Â Ă‚Â Ă‚Â | Close Active ETFs likely to fuel growth in US market Author: Clare Dickinson ETFM| 07 Sep 2011 | 12:23 The growth of the US ETF market is likely to be driven by active ETFs as a number of potential new issuers are seeking to list them, according to the New York Stock Exchange. The exchange is seeing a healthy flow of issuers preparing to enter the US market. …
Promise of Profits, No matter how stock markets fare
Promise of profits, no matter how stock markets fare gail bebee Special to Globe and Mail Update Published Wednesday, Oct. 12, 2011 5:00AM EDT Once the exclusive domain of sophisticated, high-net-worth investors, hedge funds are now accessible to the average investor. With the promise of profits no matter how stock markets fare, these so-called absolute-return investments seem like the perfect cure for ailing portfolios. Pension funds use hedge funds to …
Active ETFs Continue to Struggle: PQZ and PQY Close
Active ETFs Continue to Struggle: PQZ and PQY Close By Invest With An Edge, on October 11th, 2011 in ETFs The two oldest actively-managed ETFs are no longer with us. September 30, 2011 marked the last day of trading for PowerShares Active Alpha Multi-Cap (PQZ) and PowerShares Active AlphaQ (PQY). Both were launched on April 11, 2008. Their demise clearly illustrates the obstacles facing all actively-managed ETFs. Invesco PowerShares threw …