Raymond James | Private Capital Advisory’s Post

PE - Hedge Funds Hit by Lack of PE Exits (and one way that PE firms can boost exits) Financial Times: https://lnkd.in/edACss_X FYI - one way to get more PE exits is for the PE fund to have a domain expertise GTM and have deep knowledge on how to increase the Revenue Growth of portfolio companies which boosts cash, profits and margins. --- #pe #privateequity #business

Investors are optimistic about private equity, but reconsidering their allocations to hedge funds, a survey showed on Monday. The Global Private Equity Barometer by Coller Capital showed that almost two-fifths of investors, or Limited Partners (LPs) as they are known, are planning to increase allocations targets to private equity over the next year. #privateequity #limitedpartners #hedgefunds Coller Capital Michael Schad https://lnkd.in/ePyCfUjy

What happens in Private markets, doesn't stay Private...“The lower rate of distributions from #privateequity, [private] #debt and #venture funds is having a knock-on effect, leading some allocators to pause on new investments into illiquid funds and reduce new investments in more liquid hedge funds.”  “Private equity distributions have gone down, the IPO market has been very thin and M&A has been held back. If you’re not going to get bought and can’t get listed, PE is scratching its head on how to do distributions.” https://lnkd.in/eNMAMMDb #PrivateMarkets #Alternatives #FamilyOffice #Risk #PE #LeveragedLoans

In his latest article, Mark Pearce demystifies the often-discussed basis trading strategy, common amongst #relativevalue investors, and highlights some of the key differences between Ardea Investment Management’s regulated fixed income strategy and relative value hedge funds. Click here to find out more https://lnkd.in/e4Eangeb

'Pension funds, endowments and family offices are planning to make new equity hedge funds allocations through the end of the year, a survey by BNP Paribas (BNPP.PA) showed, as the strategy has led the industry performance in 2024. The bank interviewed 197 investors to gauge their appetite for hedge funds and their different investment strategies in the second half of the year. BNP Paribas said 86% of the institutional and private investors, fund of funds and consultants are set to make new hedge fund allocations. Still, only 26% of them will use new cash for the investments.' #hedgefunds #alternativeinvestments #assetmanagement #wealthmanagement #familyoffice

In this post, let us look at understanding the primary differences between Hedge Funds and Private Equity. 💼 Hedge Funds vs. Private Equity: Key Differences Explained! 💰 When it comes to alternative investments, hedge funds and private equity are often mentioned together. But what sets them apart? 🤔 1. Investment Strategy: Hedge Funds typically focus on liquid assets and employ diverse strategies like long/short equities, arbitrage, and global macro. Their aim is to generate returns in both up and down markets, often with a shorter-term focus. Private Equity (PE), on the other hand, involves acquiring stakes in private companies or public companies to take them private. PE firms invest with a long-term horizon, aiming to improve and eventually sell the business at a profit. 2. Time Horizon: Hedge Funds usually operate with a more short-term outlook, with investments that may be traded daily or over months. Private Equity investments are held for several years, typically 5-7 years, to allow time for significant value creation. 3. Liquidity: Hedge Funds offer more liquidity, allowing investors to redeem their investments more frequently, sometimes monthly or quarterly. Private Equity is highly illiquid, with capital locked up for the entire duration of the investment period. 4. Risk and Return: Hedge Funds can be riskier due to leverage and speculative strategies but aim for high returns across market conditions. Private Equity carries risks associated with the company’s operational performance but has the potential for substantial returns upon a successful exit. Both are powerful tools in the world of finance, but they cater to different goals and investor profiles. Understanding these differences can help you align your investment strategy with your financial goals. Follow me for more such content on Hedge Funds, PE, Fund Accounting, Wealth Management. #Finance #Investing #HedgeFunds #PrivateEquity #InvestmentStrategy #WealthManagement

Earlier in the month #VidrioFinancial had the unique opportunity to attend the With Intelligence #PensionBridge Hedge Europe event in Zurich, Switzerland. Our blog covers the latest insights from this event concerning, future #hedgefund allocations, #artificialintelligence for #allocators, and a new term to add to our #institutionalinvesting vocabulary: uniform portfolio management. Check out our takeaways from this great event. https://hubs.li/Q02lnRh80

Hedge funds ended 2023 on a high note, posting a 2% average return in December. Event-driven funds led with a 3.5% return, while positive trends were seen across various strategies. Overall, 79.2% of funds recorded positive returns, marking a strong finish to the year. https://lnkd.in/e96qi-ud #HedgeFunds #finance #investing

Among all other alternative asset classes featured in the CAIS-Mercer alternative investment survey, hedge funds were the most selected alternative asset class for diversification of risk, with 51% of respondents selecting this feature as what they seek to achieve for allocating to the asset class. Our team aggregated findings from the survey, as well as historical data, to analyze some potential trade-offs between risk and return. Read our latest insights piece to learn more: https://lnkd.in/gkJXaFEY #alternativeinvestments #financialadvisor #wealthmanagement

Hedge funds hit by lack of private equity exits Failure of private equity firms to return cash to investors is blocking institutions from backing hedge funds. Last year assets in the global private capital industry ballooned to $14.5tn, according to the Bain & Co report, more than treble the $4tn it managed a decade earlier. In contrast, inflows to hedge funds have been muted for the past decade, with investors pulling cash on a net basis in five years out of the last 10, according to Hedge Fund Research.  #hedgefunds #privateequity #inflows #investment # source : FT