The LSE SU Alternative Investments Conference – “The largest event of its kind; a chance for the best brains in asset management to meet” (The Financial Times, 2010)

On January 16-17, 2017, I got the opportunity to attend the LSE SU Alternative Investments Conference (AIC). The conference was founded in 2007 and is jointly organized by the LSE SU Alternative Investments Society and the LSE Financial Markets Group. It is now described as the world’s largest student conference on Hedge Funds, Private Equity and Venture Capital.   Continue reading

On The Danger of Passively-Managed Index Funds

The rise of indexing and the exodus of capital from actively-managed funds into passively-managed index funds has gained increasing attention from financial experts in recent years. As illustrated by the chart below, since the 2007-2009 financial crisis, U.S. actively-managed funds have seen capital flowing out from their industry, whereas U.S. passive managers have been attracting more and more capital over recent years.

Continue reading

Regulators can’t force good risk management

risk-management

The flood of new regulations misses the root cause of the economic crisis, feels Clifford Rossi of American Banker, namely “a pervasive lack of effective risk governance among key financial market participants”. In a short but concise overview of several clear examples, he demonstrates that date regulation so far has had a limited effect on ensuring that the most critical aspects of effective risk governance are in place.

http://www.americanbanker.com/bankthink/regulators-cant-force-good-risk-management-1081587-1.html

Market volatility and anticipated distress on equity markets

Goldman Sachs’ alternative asset management unit is selling stakes in five of its hedge funds to Affiliated Managers Group, an acquisitive “multi-boutique” asset manager that has grown rapidly by investing in other money managers.

Sean Healey, AMG chief executive, admits that it is difficult to know the forward direction of financial markets, but prepares for periods of volatility and distress.

http://www.ft.com/cms/s/0/cd6e44c2-2b54-11e6-bf8d-26294ad519fc.html#ixzz4AuHCVyL0